Scrip Election/ Distribution/ DRP::Choice

Incorporated in Singapore, UEN Number: 196800243H

• Final One-Tier Tax Exempt Dividend of 2.0 cents per ordinary share for the financial year ended 31 December 2020.
• Application of the Hotel Grand Central Limited Scrip Dividend Scheme to the Final One-Tier Tax Exempt Dividend.
• "Record Date" (as defined below) in respect of the Final One-Tier Tax Exempt Dividend.

[Where capitalized terms are used in this announcement and not otherwise defined, such capitalized terms shall bear the same meanings as ascribed to them in the circular to Shareholders dated 8 November 2005 (the "Circular").]

Further to the announcement of the Company's financial results for the year ended 31 December 2020 and approval obtained for the payment of the Final Dividend for the year ended 31 December 2020 at the Annual General Meeting held on 30 April 2021, the Board of Directors of Hotel Grand Central Limited (the "Board") is pleased to announce the following: -

1. Application of the Hotel Grand Central Limited Scrip Dividend Scheme (the "Scheme") to the Final One-Tier Tax Exempt Dividend
   The application of the Hotel Grand Central Limited Scrip Dividend Scheme (the "Scheme") to the Final One-Tier Tax Exempt Dividend of 2.0 cents per ordinary share ("Share") for the financial year ended 31 December 2020 (the "Final Dividend").
   The Scheme provides eligible Shareholders with the option to elect to receive shares in the capital of the Company in lieu of the cash amount of the Final Dividend declared on the shares held by eligible Shareholders (the "New Shares") as at the "Record Date" (as defined in Section X below) in respect of the Final Dividend.

1. Payment of the Final Dividend
   The Final Dividend will be payable to Shareholders whose names appear in the Register of Members of the Company as at the Record Date.

1. Issue Price
   For the purposes of the application of the Scheme to the Final Dividend, the price at which each New Share is to be issued (the "Issue Price") will be determined in accordance with the terms and conditions of the Scheme and announced by the Company following the Record Date.
   For the purpose of the application of the Scheme to the Final Dividend, the discount given on each New Share to eligible Shareholders who elect to participate in the Scheme in respect of the Final Dividend will be an amount that is equivalent to not more than 10% of the average of the last dealt prices of the Share on the Singapore Exchange Securities Trading Limited (the "SGX-ST") for the period commencing on the day which the Shares are first quoted ex-dividend on the SGX-ST after the announcement of the Final Dividend and ending on the Record Date, as determined by the Board.

IV. Who is Eligible to participate in the Scheme?

All Shareholders entitled to the Final Dividend will be eligible to participate in the Scheme in respect of the Final Dividend.

Page 1 of 3

Hotel Grand Central Limited

1. Overseas Shareholders

However, Shareholders with registered addresses outside Singapore ("Overseas Shareholders") must provide to the Company or as the case may be, The Central Depository (Pte) Limited (the "CDP"), not later than 11 June 2021 with address in Singapore for the service of notices and documents. Overseas Shareholders who fail to do so will not be eligible to participate in the Scheme.

Overseas Shareholders will receive their entitlements to the Final Dividend in cash.

VI. Participation in the Scheme

Notices of election ("Notices of Election") will be despatched to eligible Shareholders as soon as practicable after the Record Date.

Eligible Shareholders may elect to participate in the Scheme for the Final Dividend only, or they may make a permanent election to participate in the Scheme in respect of the Final Dividend and all future Dividend(s) to which the Scheme applies. These options will be provided for in the Notices of Election.

Eligible Shareholders who elect to participate in the Scheme may receive New Shares in odd lots. Fractional entitlements to the New Shares will be dealt with in such manner as the Board may deem fit in the interests of the Company and as may be acceptable to the SGX- ST. Shareholders are advised to read Explanatory Notes printed on the Notice of Election.

VII. Non-Participationin the Scheme

Eligible Shareholders who do not elect to participate in the Scheme will receive the Final in cash. Shareholders need not take any action if they wish to receive their entitlement to the Final in cash.

VIII. Shareholders with small holdings of Shares

Shareholders with small holdings of Shares which would result in them receiving zero

1. New Shares under the Scheme will receive their entitlement to the Final Dividend in cash. This would be the case even if they have made a permanent election to participate in the Scheme.

IX. Other information

A copy of the Scheme statement (which contains the terms and conditions of the Scheme) may be inspected at the Company's registered address, at 22 Cavenagh Road, Singapore 229617.

1. Record Date in respect of the Final and Special Dividend
   NOTICE IS HEREBY GIVEN that the Share Transfer Books and Register of Members of Hotel Grand Central Limited (the "Company") will be closed at 5.00 p.m. on Thursday, 17 June 2021 (the "Record Date") for determining the entitlements of shareholders in respect of the Final Dividend.
   Shareholders whose securities accounts with The Central Depository (Pte) Ltd are credited with shares as at 5.00 p.m. on the Record Date will be entitled to the Dividend.
   Registrable transfers (in respect of Share(s) not registered in the name of CDP) together with all relevant documents of title received by the Company's Registrar, Boardroom Corporate & Advisory Services Pte Ltd at 50 Raffles Place, Singapore Land Tower #32-01, Singapore 048623, up to 5:00 p.m. on the Record Date will, subject to the Constitution of the Company, be registered before entitlements to the Dividend are determined.

Page 2 of 3

Hotel Grand Central Limited

The Final Dividend will be paid on 30 July 2021 (or as advised by the Company) in accordance with the regulations of the Listing Manual. Fully paid New Shares to be issued pursuant to elections by the eligible Shareholders to receive the Final Dividend in scrip will be credited into depositor's security account on or about 30 July 2021 or as advised by CDP. The commencement date for trading of the New Shares will be on or about 30 July 2021, or as advised by SGX.

By Order of the Board

Hotel Grand Central Limited

Eliza Lim Bee Lian

Company Secretary

7 June 2021

Page 3 of 3