Daisho Microline : COMPLETION OF PLACING OF NEW SHARES UNDER GENERAL MANDATE

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

DAISHO MICROLINE HOLDINGS LIMITED

(Incorporated in Bermuda with limited liability)

(Stock Code: 0567)

COMPLETION OF PLACING OF NEW SHARES

UNDER GENERAL MANDATE

Placing Agent

The Board is pleased to announce that all conditions to the Placing Agreement have been fulfilled on 7 September 2020 and completion of the Placing took place on 10 September 2020. An aggregate of 115,200,000 Placing Shares have been successfully placed by the Placing Agent to not less than six Placees at the Placing Price of HK$0.158 per Placing Share pursuant to the terms and conditions of the Placing Agreement.

References are made to the announcements of Daisho Microline Holdings Limited (the "Company") dated 18 August 2020 and 19 August 2020 in relation to the Placing (the "Announcements"). Capitalised terms used herein shall have the same meanings as defined in the Announcements unless otherwise stated herein.

COMPLETION OF THE PLACING

The Board is pleased to announce that all conditions to the Placing Agreement had been fulfilled on 7 September 2020 and completion of the Placing took place on 10 September 2020. An aggregate of 115,200,000 Placing Shares have been successfully placed by the Placing Agent to not less than six Placees at the Placing Price of HK$0.158 per Placing Share pursuant to the terms and conditions of the Placing Agreement, representing (i) approximately 19.99% of the issued share capital of the Company immediately before the Placing; and (ii) approximately 16.66% of the issued share capital of the Company as enlarged by the allotment and issue of the Placing Shares immediately upon completion of the Placing.

To the best of the knowledge, information and belief of the Directors and having made all reasonable enquiries, the Placees and their respective ultimate beneficial owner(s), as applicable, are professional, institutional or other investors who are parties independent of the Company and its connected persons.

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The gross proceeds from the Placing amounted to approximately HK$18.2 million and the net proceeds amounted to approximately HK$17.6 million (after deduction of commission and other expenses of the Placing) will be used for the general working capital of the Group, including the repayment of debts of the Group when they fall due.

SHAREHOLDING STRUCTURE OF THE COMPANY UPON COMPLETION OF THE PLACING

The shareholding structure of the Company before and after completion of the Placing is as follows:

	Immediately before	Immediately after
Name of shareholders	completion of the Placing	completion of the Placing
	Number of	Approximate	Number of		Approximate
	Shares	%		Shares	%
Mr. Cheung Ling Mun	120,068,000		20.84	120,068,000	17.36
Spring Global Enterprises	59,576,000		10.34	59,576,000	8.62
Limited (Note 1)
Alexis Consortium Ltd.	50,000,000		8.68	50,000,000	7.23
(Note 2)
The Placees and other public	346,599,785		60.14	461,799,785	66.79
Shareholders
Total	576,243,785		100.00	691,443,785	100.00

Notes:

1. Spring Global Enterprises Limited is wholly-owned by Mr. Ng Man Chan ("Mr. Ng"). Mr. Ng is deemed to be interested in all the shares in which Spring Global Enterprises Limited is interested under Part XV of the SFO.
2. Alexis Consortium Ltd. is wholly-owned by BC Management Services Ltd. BC Management Services Ltd. is deemed to be interested in all the shares in which Alexis Consortium Ltd. is interested under Part XV of the SFO.
3. The percentages are subject to rounding error.

By Order of the Board

Daisho Microline Holdings Limited

Cheung Lai Ming

Chairman

Hong Kong, 10 September 2020

As at the date of this announcement, the Board consists of three executive Directors, namely, CHEUNG Lai Ming, LEE Man Kwong and WONG Siu Hung, Patrick, one non-executive Director YAU Pak Yue and three independent non-executive Directors, namely, LEUNG King Fai, CHOU Yuk Yan and CHAN Yau Ching, Bob.

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