Yuanda China : ANNOUNCEMENT DISCLOSEABLE TRANSACTION ENTER INTO SUPPLEMENTAL AGREEMENT

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.

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 2789)

ANNOUNCEMENT

DISCLOSEABLE TRANSACTION

ENTER INTO SUPPLEMENTAL AGREEMENT

Reference is made to the announcement of Yuanda China Holdings Limited (the "Company") dated 15 March 2021 (the "Announcement") in relation to the agreement dated 15 March 2021 (the "Agreement") entered into by the Vendors and the Purchaser (hereinafter referred to as "Chengdu Jiuhe") in relation to disposal of the Factory Building by the Vendors to Chengdu Jiuhe. Unless the context otherwise defined, capitalised terms used herein shall have the same meanings as those defined in the Announcement.

As disclosed in the Announcement, the Vendors agreed to sell, and Chengdu Jiuhe agreed to purchase the Factory Building for the Consideration of RMB30,000,000 pursuant to the Agreement. On 14 April 2021, the Company, Chengdu Jiuhe and its wholly-owned subsidiary, Chengdu Zhixiangxing Intelligent Equipment Co., Ltd（成都智祥興智慧裝備有限責任公司）("Chengdu Zhixiangxing") enter into a supplemental agreement to the Agreement (the "Supplemental Agreement").

Due to the development and investment planning of Chengdu Jiuhe, the parties entered into the Supplemental Agreement, pursuant to which Chengdu Zhixiangxing agreed to take over all the rights, responsibilities and liabilities under the Agreement in respect of the Disposal. As at the date of the Supplemental Agreement, the Consideration of RMB30,000,000 has been fully paid by the Purchaser to the Vendors. Pursuant to the terms of the Supplemental Agreement, Chengdu Jiuhe and Chengdu Zhixiangxing shall jointly be responsible for any payment obligation under the Agreement, including any costs arising out from the transfer of the ownership and change of land use right certificate for the Factory Building as contemplated under the Disposal.

Chengdu Zhixiangxing is a wholly-owned subsidiary of Chengdu Jiuhe and the entering of the Supplemental Agreement will not have any adverse effect on the completion of the Disposal.

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Save for the aforementioned amendment as contemplated under the Supplemental Agreement, all other terms and conditions of the Agreement remain unchanged. The Board (including the independent non-executive Directors) is of the view that the terms of the Supplemental Agreement with the aforementioned amendment are fair and reasonable, on normal commercial terms, entered into in the ordinary and usual course of the Company's business and in the interests of the Company and its shareholders as a whole.

By Order of the Board

Yuanda China Holdings Limited

Kang Baohua

Chairman

The PRC, 14 April 2021

As at the date of this announcement, the executive Directors are Mr. Kang Baohua, Mr. Liu Futao, Mr. Ma Minghui, Mr. Wang Hao, Mr. Zhao Zhongqiu and Mr. Zhang Lei, and the independent non- executive Directors are Mr. Poon Chiu Kwok, Mr. Woo Kar Tung, Raymond and Mr. Pang Chung Fai, Benny.

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