The Board of Directors of Mencast Holdings Ltd. announced that the company has, on 30 March 2023, entered into a joint investment agreement (the JIA) with Mr. Gong Kun (Mr. Gong) and Mr. Chen Xia (Mr. Chen) (collectively, the Parties) to incorporate and operate a company in Singapore with the name Menji International Pte. Ltd. (the Joint Investment Company). In accordance with the JIA, the Parties intend to develop, manufacture and distribute environmentally friendly and sustainable building materials and low carbon building technologies utilising 3D printing in Singapore and in other markets as agreed between the Parties, through the Joint Investment company.

The initial investment by the Company in the Joint Investment will be SGD 60,000 representing 60,000 ordinary paid-up shares and 60.0% of the total issued and paid-up share capital of Joint Investment company. Mr. Gong and Mr. Chen will subscribe for and hold the remaining 25.0% and 15.0% of the total issued and paid-up share capital of the Joint Investment company, respectively. Mr. Gong has nearly 15 years of experience in the field of modern construction technology.

He participated the construction of the Saudi Arabian government's first fully-fabricated security resettlement housing in Saudi Arabia, and the first pilot project of fully-fabricated security housing construction in Shanghai. The Parties intend to tap on Mr. Gong's expertise in comprehensive application of low-carbon building technologies in the construction industry. Mr. Gong is currently the Group's partner and owns 9.91% stake in the Group's associated company, Menji Pte Ltd. (in turn holds 100% shareholding interests in Menji Technology Development (Shanghai) Co., Ltd) which focuses on additive manufactured products for exterior and interior design used in construction and accommodation, marine and offshore sectors.

Mr. Chen has nearly 20 years of experience in the real estate development field. He established the Suzhou branch of Avic Legend Co. Ltd., a landscape architecture firm, and had served as its general manager for 8 years, accumulating rich management experience in the process.

Mr. Chen brings along to the Joint Investment his forward-looking insights into the comprehensive application of low-carbon building technology in the construction industry. The Joint Investment is in line with the Group's long-term objective of delivering growth and enhancing its revenue stream to ensure a sustainable business. The Joint Investment will focus on cost-efficient, innovative solutions to meet customer requirements in the building materials and construction industries, which are also applicable to the marine and offshore construction projects where the Group has established an existing client base.

The investment by the Company will be funded through internal resources and is not expected to have any material impact on the net tangible assets or earnings per share of the Group for the financial year ending 31 December 2023.