General Announcement::Partial Disposal of the Shareholding in the Issued and Paid Up Share Capital of Espressif Systems

SHINVEST HOLDING LTD.

(Incorporated in the Republic of Singapore on 16 December 1989)

(Company Registration No. 198905519R)

PARTIAL DISPOSAL OF THE COMPANY'S SHAREHOLDING IN THE ISSUED AND PAID UP SHARE CAPITAL OF ESPRESSIF SYSTEMS (SHANGHAI) CO., LTD.

The Company refers to the announcements made from 28 October 2020 to 9 July 2021 in relation to the partial disposal of ordinary shares held by the Company in Espressif Systems (Shanghai) Co., Ltd. ("Espressif Shanghai") (the "Previous Announcements").

Further to the Previous Announcements, the Board of Directors (the "Board") of Shinvest Holding Ltd. (the "Company"), together with its subsidiaries (the "Group") would like to announce that the Company has made a further disposal of the Espressif Shanghai's shares ("Disposal") by way of Auction Trading (竞价 交易) on China Merchant Securities Co., Ltd.'s online platform, details of which are as follows:

INFORMATION ON DISPOSAL TRANSACTIONS

	Average Share
	Selling Price	No. of	Net Cash Proceeds (1)
Disposal Date	per Share (RMB)	Shares Disposed	(RMB)
12 July 2021
to 20 July 2021	253.92	140,571	35,652,674

Notes:

1. after deducting of administrative fee, stamp duty and transfer fees for the sale of shares to third parties.

The total number of Espressif Shanghai shares disposed as of 20 July 2021 is 1,267,005 ordinary shares. The Company currently holds 3,532,995 ordinary shares in Espressif Shanghai.

FINANCIAL IMPACT

Based on the Company's audited full year financial statements for the financial year ended 31 August 2020, the Group expects to record a gain before tax of approximately S$2,384,421 from the Disposal.

FINANCIAL EFFECTS

For the purposes of illustration only, the pro forma financial effects of the Disposal taken are set out below. The pro forma financial effects are based on the most recently completed financial year for the financial year ended 31 August 2020.

1. Net Tangible Assets ("NTA") (assuming that the Disposal had been effected at the end of the financial year)

	As at 31 August 2020
	NTA (S$'000)	NTA per share
Before the Disposal	150,448	503.08
After the Disposal	152,463	509.82

2. Earnings Per Share ("EPS") (assuming that the Disposal had been effected on 1 September 2019)

As at 31 August 2020

	Earning (S$'000)	EPS (cents)
Before the Disposal	34,652	115.87
After the Disposal	36,667	122.61

RELEVANT FIGURES UNDER RULE 1006 OF THE LISTING MANUAL

The relative figures computed on the bases set out in Rule 1006 of the Listing Manual based on the latest announced unaudited half year financial statements of the Group for the financial year ending 31 August

2021 are as follows:

Rule		Relative
		figures
Rule 1006(a)	Net asset value of the assets to be disposed of, compared with the	2.89%
	Group's net asset value
Rule 1006(b)	Net profits attributable to the assets disposed of, compared with the	3.47%
	Group's net profits
Rule 1006(c)	The aggregate value of the consideration received, compared with	7.64%
	the Company's market capitalisation of S$97,191,972 as of 9 July
	2021
Rule 1006(d)	The number of equity securities issued by the Company as	Not
	consideration for an acquisition, compared with the number of equity	Applicable
	securities previously in issue
Rule 1006(e)	The aggregate volume or amount of proved and probable reserves	Not
	to be disposed of, compared with the aggregate of the Group's	Applicable
	proved and probable reserves

RATIONALE AND USE OF PROCEEDS

As elaborated in the circular to Shareholders dated 30 September 2020, the Company has reviewed its investment portfolio and is of the view that it is an opportune time to realise its investments in Espressif Shanghai.

The proceeds from the Disposal will be used for general working capital purposes of the Group and/or investment opportunities, as the Directors may deem appropriate in the interest of the Group.

DIRECTORS' AND SUBSTANTIAL SHAREHOLDERS' INTEREST

None of the Directors or substantial shareholders of the Company, or its subsidiaries have any interest, direct or indirect, in the Disposal other than by reason of being a Director or a shareholder of the Company.

CAUTIONARY STATEMENT

Shareholders and potential investors are therefore reminded to exercise caution when dealing in the securities of the Company and should consult their stockbrokers, bank managers, solicitors, accountants or other professional advisors if they are in doubt about the actions that they should take.

BY ORDER OF THE BOARD

Teo Teck Leong

Managing Director

21 July 2021