Unless otherwise stated, abbreviations and definitions used throughout this announcement shall be the same as those previously defined in the previous announcement dated 19 March 2021 in relation to the MOU.

Reference is made to the Company’s announcement released on 19 March 2021 on the Memorandum of Understanding between HWGB EV Sdn Bhd, Ho Wah Genting Berhad and Seiyong Motor Co. Ltd (“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 consumer 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. Royal Malaysian Customs Department (RMCD) 

d. 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 Seiyong Motor is RMB 22,219,500.00.

4. Seiyong Motor was registered in Beijing on 18 July 2017, is an innovative technology-based automobile company, mainly engaged in the research and development and sales of new energy vehicles.  Seiyong Motor officially launch its Seiyong S1 (“Little Bee”) in December 2019.  For more information and visual of Seiyong Motor’s product, please refer to: http://www.seiyongev.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.  Seiyong Motor produces electric vehicles for consumer use whereas 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.

This announcement is dated 25 March 2021.