CA Cultural Technology Group Limited announced as at 13 January 2021, only the First Note in the principal amount of HKD 200,000,000 has been issued by the Company to the Subscriber and the remaining balance thereof is HKD 80,000,000 (the Remaining Balance), and HKD 20,000,000 in principal amount for the First Note has been repaid since the last announcement in relation to the Notes made on 24 January 2020. The First Note was amended by a supplemental deed (the 1st Supplemental Deed) which was entered into on 23 January 2019, and it was further amended by another supplemental deed (the 2nd Supplemental Deed), which was entered into on 24 January 2020. Recently, the Company has sought and obtained the approval of the Subscriber, being the sole holder of the First Note, to amend certain terms and conditions of the First Note (the Amendments). The Company, the Chargor, Newgate, the Subscriber and the Personal Guarantor entered into a further supplemental deed to the Subscription Agreement, the 1st Supplemental Deed and the 2nd Supplemental Deed (the 3rd Supplemental Deed) to effect the Amendments with effect from the first business day after the date upon which all conditions precedents (the Conditions Precedent) set forth in the section headed conditions precedent to the amendments have been satisfied or waived by the Subscriber, which is 13 January 2021 (the Effective Date). The Amendments: Pursuant to the 3rd Supplemental Deed, subject to the satisfaction and/or waiver of the Conditions Precedent, among other amendments, the terms and conditions of the First Note will be amended such that: the maturity date of the First Note will be extended to 25 September 2021 (the Maturity Date); the Remaining Balance will bear interest from and including 27 September 2020 to the Maturity Date at the rate of 8.5% per annum; and each of the Company and the Subscriber may, after 26 March 2021, without the prior consent of the other party, redeem the Remaining Balance in whole or in part, before the Maturity Date, by serving a written notice to such other party at least five Business Days before the intended redemption date. Conditions Precedent to The Amendments: The effectiveness of the Amendments shall be conditional upon: the Subscriber having obtained and performed all necessary external, internal and corporate approvals and checks under all applicable Laws regarding the transactional documents in connection to the Amendments, including, amongst others, the 3rd Supplemental Deed, and such approvals aforesaid remaining valid and having not been revoked as at the Effective Date; the Company having paid to the Subscriber, and the Subscriber having received HKD 800,000.00, being 1% of the Remaining Balance; the representations and warranties in the Subscription Agreement (as amended by the 1st Supplemental Deed, 2nd Supplemental Deed and 3rd Supplemental Deed) remaining true, accurate and not misleading in each case in accordance with their terms; since the date of the 3 rd Supplemental Deed, there having been, in the opinion of the Subscriber, no material adverse change (as defined in the Subscription Agreement); receipt by the Subscriber of various documents including, amongst others, certified true copy of the updated register of the noteholders of the Issuer, the resolutions of the Company, the Chargor and Newgate approving the Amendments and legal opinions issued by the Subscriber's legal advisers in relation to Hong Kong, the Cayman Islands and the British Virgin Islands laws; and receipt by the legal advisers of the Subscriber of the fees and disbursements for the preparation and execution of the 3rd Supplemental Deed and the relevant transaction documents. Reasons for The Amendments: The Directors consider that the Amendments are in the interest of the Company and the Shareholders as a whole as the extension of the maturity date of the First Note will provide more financial flexibility to the Company during the extended period during which the Company may utilize its resources for further business development and business opportunities.