Grandshores Technology : COMPLETION OF SUBSCRIPTION OF NEW SHARES UNDER GENERAL MANDATE

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

Grandshores Technology Group Limited ඪ֦߅ҦණྠϞࠢʮ̡

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 1647)

COMPLETION OF SUBSCRIPTION OF NEW SHARES

UNDER GENERAL MANDATE

Reference is made to the announcement of Grandshores Technology Group Limited (the "Company") dated 15 March 2021 (the "Subscription Announcement") in relation to, among others, the conditional subscription by Lion Brokers Limited of 64,500,000 new ordinary shares in the Company. Unless otherwise defined, capitalised terms used in this announcement shall have the same meanings as defined in the Subscription Announcement.

COMPLETION OF SUBSCRIPTION

The Board is pleased to announce that all the Conditions Precedent under the Subscription Agreement have been fulfilled and Completion took place on 26 March 2021. A total of 64,500,000 new Shares were allotted and issued by the Company to the Subscriber at the Subscription Price of HK$0.420 per Subscription Share pursuant to the terms and conditions of the Subscription Agreement.

EFFECTS ON SHAREHOLDING STRUCTURE OF THE COMPANY

The 64,500,000 new Shares represents (i) approximately 6.26% of the issued share capital of the Company immediately before the Completion; and (ii) approximately 5.89% of the issued share capital of the Company as enlarged by the Subscription. Set out below is the shareholding structure of the Company immediately before and after the Completion:

Immediately	Immediately
before	following
Completion	Completion
Number	%	Number	%
Shareholders	Note	of Shares	(Approx.)	of Shares	(Approx.)
Morgan Hill	1	365,175,000	35.44	365,175,000	33.35
Mr. Yao	1,2	366,175,000	35.53	366,175,000	33.44
Great Scenery	1,3	365,175,000	35.44	365,175,000	33.35
Emperor Grand	1,4	365,175,000	35.44	365,175,000	33.35
Mr. Zhu	1	365,175,000	35.44	365,175,000	33.35
The Subscriber	0	0	64,500,000	5.89
Other public shareholders	664,365,000	64.47	664,365,000	60.67
Note:

• 1. The shareholding interests in 365,175,000 Shares represents the same block of Shares.

• 2. Mr. Yao is the chairman of the Board and an executive Director and the 1,000,000 Shares are personally owned by Mr. Yao.

• 3. Great Scenery's deemed shareholding interests were held by virtue of the 51% in Morgan Hill. Great Scenery is wholly and beneficially owned by Mr. Yao.

• 4. Emperor Grand's deemed shareholding interest were held by virtue of its 49% shareholding interests in Morgan Hill. Emperor Grand is wholly and beneficially owned by Mr. Zhu.

THE FUND TO BE ESTABLISHED BY LION GROUP

Reference is also made to the announcement of the Company dated 22 February 2021 (the "Business Update Announcement"). Unless otherwise defined, capitalised terms used in this announcement shall have the same meanings as defined on the Business Update Announcement.

Under the Strategic Cooperation Agreement, among others, Lion Group is planning to establish a fund related to the blockchain industry of not more than US$800 million. As the chief technical advisor of Lion Group and the chairman of the Board and an executive director of the Company, Mr. Yao, who owns 51% equity interest in the controlling shareholder of the Company, will facilitate the cooperation between Lion Group and the Company in the establishment of the above fund. To the best knowledge of the Directors, as at the date of this announcement, Lion Group, Mr. Yao and the Company have agreed to suspend the establishment of the above fund. The Directors consider that such suspension shall have no material adverse impact on the business, operations and financial position of the Group.

By order of the Board

Grandshores Technology Group Limited

Yao Yongjie

Chairman and Executive Director

Hong Kong, 26 March 2021

As at the date of this announcement, the Board comprises Mr. Yao Yongjie as an executive Director; Mr. Chua Seng Hai, Ms. Lu Xuwen and Ms. Yu Zhuochen as non-executive Directors; and Mr.

Chu Chung Yue, Howard, Dr. Zhang Weining and Mr. Yu Wenzhuo as independent non-executive Directors.