The Board of Directors of Hoe Leong Corporation Ltd. announced that Trackspares Global Pte. Ltd., a wholly-owned subsidiary of the Company, has incorporated a wholly-owned subsidiary known as Kunshan Trackspares Trading Co. Ltd. ("KTT") in the People's Republic of China with a registered capital of RMB 2 million.

The principal activities of KTT will be the trading, import, export and distribution of heavy equipment parts. The investment of KTT will be funded by internal resources and is not expected to have any material impact on the net tangible assets per share and earnings per share of the Group for the current financial year ending 31 December 2023.