The Board of CHINA WAN TONG YUAN (HOLDINGS) LIMITED announced that on 30 June 2020, Langfang Wantong successfully won a bid for the Cemetery JV Project. Pursuant to the relevant tender documents, Langfang Wantong Public Cemetery Co., Limited and China Wan Tong Yuan (Holdings) Limited., Limited will enter into the JV Agreement pursuant to which the parties will set up the JV Company with a registered capital of RMB 30.0 million. Each of Langfang Wantong and Xinhangcheng is to contribute to the registered capital of the JV Company at RMB 23.7 million and RMB 6.3 million in proportion to their equity interests of 79% and 21% in the JV Company, respectively. Upon establishment of the JV Company, it will be recognized as an indirect non wholly-owned subsidiary of the Company and its accounts will be consolidated into the financial statement of the Company. Langfang Wantong shall within 30 days from the date of the JV Agreement pay RMB 30.0 million as Contribution for the Cemetery JV Project.