The board of directors of Blue Moon Group Holdings Limited (the Company) announced that construction of phase two of the new production and storage facilities located at existing production base in Chongqing, the PRC (the "New Production Facility") have been completed. The New Production Facility has a gross floor area of approximately 49,000 square meters with production capacity of approximately 100,000 tonnes per year. The New Production Facility is expected to add up to 11 additional production lines for manufacturing a range of home care, personal hygiene and fabric care products, including disinfectant products, colour bleach and toilet cleaner.

Trial production at the New Production Facility has commenced in June 2022 and the completion and commission ceremony was held on 6 July 2022. The New Production Facility has entered the commercial production stage since 6 July 2022. The Group has been committed to expand its production capacity in various existing production bases to cater for its long-term business needs.

The Board believes that the New Production Facility can (i) reduce existing logistic costs, (ii) increase production volume and storage capacity, (iii) upgrade the production process with enhanced efficiency, and (iv) provide production flexibility to meet demand during peak seasons.