1. INTRODUCTION

Pursuant Paragraph 9.19(23) of the Main Market Listing Requirement of Bursa Malaysia Securities Berhad, Ho Wah Genting Berhad ("HWGB" or "the Company") wishes to announce that the Company had incorporated an indirect subsidiary, HWG Fintech Property Sdn. Bhd. (“HWG Fintech Property”) in Malaysia under the Companies Act, 2016 on 16 March 2022 (“Incorporation”).

The Incorporation is via HWG Fintech Capital Sdn. Bhd. (Formerly Known As HWG Capital Sdn. Bhd.) and HWGB Blockchain & Digitaltech Sdn. Bhd. both are wholly-owned subsidiary of HWGB.

2. INFORMATION OF THE INCORPORATION

The issued capital of HWG Fintech Property is RM100 with 100 ordinary shares in issued. The registered subscriber shareholders are HWG Fintech Capital Sdn. Bhd. (Formerly Known As HWG Capital Sdn. Bhd.) (55% shareholding) and HWGB Blockchain & Digitaltech Sdn. Bhd. (45% shareholding).  The intended principal activity of HWG Fintech Property is to engage in the business of buying, selling, leasing, renting of property of all descriptions including but not limited to management of all kinds of property.

3. EFFECTS OF THE INCORPORATION

On incorporation, HWGB is the ultimate holding company and holds 100% equity interest in HWG Fintech Property via its wholly-owned subsidiaries.

4. FINANCIAL EFFECTS

The Incorporation will not have any material effect on the earnings per share, net assets per share, gearing, share capital and substantial shareholders’ shareholding of HWGB and Group for the financial year ending 30 April 2022.

5. RATIONALE

The Incorporation is mainly to facilitate the Group’s business expansion plans.

6. INTERESTS OF DIRECTORS AND/OR SUBSTANTIAL SHAREHOLDERS AND/OR PERSON CONNECTED TO THEM

None of the directors and/or substantial shareholders of the Company, and/or persons connected to such director and/or substantial shareholders have any interest, direct or indirect, in the Incorporation.

7. STATEMENT BY BOARD OF DIRECTORS

The Board of Directors of the Company having considered all aspects of the Incorporation is of the opinion that the Incorporation is in the best interest of the Company.

8. APPROVAL REQUIRED

The Incorporation is not subject to the approval of the shareholders of the Company.

This announcement is dated 17 March 2022.