The board of directors of STAR CM Holdings Limited announced that on March 30, 2023, the Company entered into a memorandum of understanding with Nfkings Productions Limited pursuant to which the parties to the MOU intend to enter into a joint venture arrangement to set up a Web3 entertainment company to capitalize on existing and new opportunities in the Web3 entertainment space. Stellar Productions Limited was incorporated in Hong Kong on May 17, 2023 (the JV Company) with a total share capital of HKD 100,000, being a limited company jointly owned by Nfkings and Star CM (HK) Limited (a wholly-owned subsidiary of the Company) as to 45% and 55%, respectively.