Pintec Technology Holdings Limited, announced its decision to expand its technical services to focus on better empowering the small and medium enterprise ("SME") ecosystem, by leveraging the Company's advanced technology in big data, artificial intelligence, and cloud-based infrastructure. Specifically, the Company plans to utilize its "SaaS + Fintech" model as a total solution in order to accelerate the digitization of SMEs, encompassing technology-based credit services and solutions to the manufacturing process and operations of the SMEs. Part of this decision requires strategic review of the Company's existing operations in order to optimize resource and talent deployment. As a result, the Company has determined to restructure certain non-core technical services, which require long-term investment but may generate negative earnings currently and in the foreseeable future, by transferring out 85% of its equity interest in FT Synergy Pte. Ltd. ("FT") at nil consideration (the "Deconsolidation"). Upon the completion of this deconsolidation, the financial results of FT will no longer be included in the Company's consolidated financial statements, therefore eliminating its negative financial impacts to the Company. Going forward, the Company will be focused on offering of comprehensive technology-based credit services and solutions to SMEs. As a leading developer for credit services, PINTEC initiated a technology-based credit assessment system for SMEs as early as 2016. PINTEC's technology-based credit services and solutions focus on customer acquisition and risk control, and were adopted in several business aspects, including e-commerce, payment, corporate finance and taxation. As of the end of 2020, PINTEC's solution has enabled over 80,000 SMEs in managing their cash flows and needs.