Unless otherwise stated, abbreviations and definitions used throughout this announcement shall be the same as those previously defined in the previous announcement dated 22 March 2021 in relation to the MOU.

Reference is made to the Company’s announcement released on 22 March 2021 on the Memorandum of Understanding between HWGB EV Sdn Bhd, Ho Wah Genting Berhad and XIAMEN CHIEF (“MOU”).

The Company would like to provide the following additional information:

1. HWGB is venturing into assembly and distribution of electric vehicle in Malaysia to tap into the new trending market of electric vehicle commercial segment, the new era of living lifestyle towards higher technologies usage and energy saving and to create another stream of revenue to the Group.  In addition, it also helps to encourage and promote greener and environmentally friendly products.

2. The assembling and distribution of electric vehicle in Malaysia will require the following approvals from:

a. Ministry of International Trade and Industry (MITI)

b. Malaysian Investment Development Authority (MIDA)

c. Manufacturing License

d. Royal Malaysian Customs Department (RMCD)

e. Jabatan Pengangkutan Jalan Malaysia (JPJ)

However, the Group has not applied for any approval in Malaysia until the execution of the definitive agreement and completion of feasibility study on the venture.

3. The issued shares capital of Xiamen Chief is RMB 8,805,700.00.

4. Xiamen Chief established on 19 June 2000, principally engaged in the production, design and development of electric vehicles and spare parts for electric tour buses, shuttle bus, track car, golf buggy cars, food truck, logistics distribution vehicle, patrol car and others, and leasing of self-produced products.  Xiamen Chief produces series of electric vehicles suitable for tourist attractions, resorts, gated communities, urban pedestrian streets, large factories, stadiums, hospitals, prisons.  For more information on Xiamen Chief products, please refer to: http://www.chiefev.com/.

5. The financial commitment required by the Group to venture into the electric vehicle cannot be ascertained at the moment until a definitive agreement is entered and relevant authorities’ approval are obtained.

6. The Group entered into various MOUs with different party for the venture into electric vehicle business as each of the party produce different type of electric vehicle.  Xiamen Chief produces electric vehicles that are commercial base i.e. electric tour buses, shuttle bus, track car, golf buggy cars, food truck, logistics distribution vehicle, patrol car and others whereas Seiyong Motor produces electric vehicles for consumer use.

This announcement is dated 25 March 2021.