The board of directors of WLS Holdings Limited announced that on 7 July 2023, the Company entered into a memorandum of understanding with Zhongxu Guanhong Holdings Group Co. Ltd. According to the Memorandum of Understanding, both parties have tentatively agreed that the Company and Zhongxu GuanhONG, together with its subsidiaries (collectively the "Zhong Guanhong Holdings Group"), will jointly develop or adopt other forms of cooperation to (i) set up channels for agents and create a brand for promotion system tool in consumption; (ii) fully expand the mainland market through the Zhongxu Guanhang general business system at an appropriate time. Both parties will develop a comprehensive strategic cooperation based on the principle of long-term strategic cooperation, including but not limited to equity investment, debt investment and other investments.

Both parties will continue to expand the scope of cooperation according to market conditions and may hold senior management meetings from time to time to discuss the mode, direction and progress of the cooperation and other matters relating to the cooperation projects. To the best of the Board's knowledge, information and belief, having made all reasonable enquiries, Zhongxu Guanhong Holdings Group and its ultimate beneficial owners are independent third parties independent of the Company and its connected persons (as defined in the Rules Governing the Listing of Securities on GEM of The Stock Exchange of Hong Kong Limited (the GEM Listing Rules)). Under the framework of the Memorandum of Understanding, the Company and Zhongxu Guanhong Holdings Group will strengthen the exchange and collaboration in various aspects such as business opportunities and market information for mutual complementary and sharing purposes.

Both parties will work closely with each other in the areas of the development of special asset optimisation in an active manner.