Beijing Enterprises Water Group Limited announced that on 8 February 2021, YEE, Shishou Boya, CCCC Second Harbour Engineering Company Limited (CCCC Second Harbour), Changsha Three Gorges Beijing Enterprises Water Group Co., Ltd. (CTGBE), Changjiang Survey, Planning, Design and Research Co., Ltd. (CSPDR) and China Water and Electric Development Co., Ltd. (CWED) entered into the JV Agreement in relation to establishment of the Joint Venture for the purpose of investment, financing, construction, operation, management, maintenance and transfer of water environment comprehensive renovation (Phase I Engineering) PPP Project in the center district of Shishou City of Hubei Province, the PRC. Pursuant to the JV Agreement, the registered capital of the Joint Venture shall be RMB 100,000,000 (equivalent to approximately HKD 119,760,000). CTGBE will inject RMB 1,000,000 (equivalent to approximately HKD 1,198,000) in cash, representing 1% of the registered capital of the Joint Venture. The other JV Parties namely, YEE, Shishou Boya, CCCC Second Harbour, CSPDR and CWED, each will inject RMB 77,000,000 (equivalent to approximately HKD 92,216,000), RMB 10,000,000 (equivalent to approximately HKD 11,976,000), RMB 10,000,000 (equivalent to approximately HKD 11,976,000), RMB 1,000,000 (equivalent to approximately HKD 1,198,000) and RMB 1,000,000 (equivalent to approximately HKD 1,198,000), in cash, representing 77%, 10%, 10%, 1% and 1% of the registered capital of the Joint Venture respectively. Upon establishment, the Joint Venture will be accounted as an equity investment designated at fair value through other comprehensive income of the Company.