Oshidori International : UPDATE ON POSITIVE PROFIT ALERT - POSSIBLE PROFIT WARNING

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OSHIDORI INTERNATIONAL HOLDINGS LIMITED

威 華 達 控 股 有 限 公 司 *

(Incorporated in Bermuda with limited liability)

(Stock code: 622)

UPDATE ON POSITIVE PROFIT ALERT

POSSIBLE PROFIT WARNING

This announcement is made by Oshidori International Holdings Limited (the "Company", together with its subsidiaries, the "Group") pursuant to Rule 13.09(2) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules") and the Inside Information Provisions (as defined under the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Cap.571 of the Laws of Hong Kong).

Reference is made to the announcements of the Company dated 15 July 2020 and 21 July 2020 in relation to the positive profit alert (the "Announcements"). Unless defined otherwise, capitalised terms used herein shall have the same meanings as those defined in the Announcement.

The Board wishes to update the Shareholders and potential investors that the Group is expected to recognise a decrease of unrealised gain for an amount of HK$12.5 million for the Period. Such decrease is the result of an unrealised loss of HK$12.5 million (the "Unrealised Loss") due to a decrease in fair value of the Group's unlisted convertible notes based on a valuation report conducted by an independent professional valuer.

In mid-August 2020, the Group disposed of the entire interests in such unlisted convertible notes at a consideration of HK$40.0 million (the "Disposal"). In the second half of the Group's fiscal year ending 31 December 2020, the Group is expected to record a realised gain of HK$2.0 million and the Unrealised Loss would be eliminated in full as a result of the Disposal. During the holding period of the unlisted convertible notes, the Group had received a total scrip interest income of HK$4.6 million.

• For identification purpose only

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Based on our preliminary review on the unaudited consolidated management accounts of the Group (the "Unaudited Consolidated Management Accounts") for the Period, the Group is expected to record an unaudited consolidated loss of HK$1.6 million for the Period, representing a reduction of loss by 99.2% as compared to the unaudited consolidated loss of HK$198.7 million for the Previous Period.

As at the date of this announcement, the Company is still in the process of finalising its results for the Period. The information contained in this announcement is only based on a preliminary assessment of the unaudited consolidated management accounts of the Group for the Period and the information currently available to the Board, as such the actual results of the Group may be subject to amendments and potential adjustments where necessary. The Board wishes to emphasise that the results of the Group for the Period may be affected by a number of other factors, including but not limited to the valuation of the unlisted equity securities under financial assets designated at fair value through other comprehensive income.

Shareholders and potential investors must exercise caution when using such data to evaluate the Group's financial conditions and results of operations. Shareholders and potential investors are advised to read carefully the announcement of the 2020 interim results of the Group for the Period which is expected to be released in August 2020.

Shareholders and potential investors are advised to exercise caution when dealing in the shares of the Company.

By Order of the Board

Oshidori International Holdings Limited

Liu Tsui Fong

Company Secretary

Hong Kong, 18 August 2020

As at the date of this announcement, the Board comprises the following directors:

Executive Directors:	Non-Executive Directors:	Independent Non-Executive
Ms. Wong Wan Men Margaret	Mr. Alejandro Yemenidjian	Directors:
Mr. Wong Yat Fai	(Non-Executive Chairman)	Mr. Chan Hak Kan
	Hon. Joseph Edward Schmitz	Mr. Cheung Wing Ping
	Mr. Sam Nickolas David Hing	Mr. Hung Cho Sing
	Cheong

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