Honbridge Holdings Limited — Earnings Release 2020

Mar 15, 2021

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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HONBRIDGE HOLDINGS LIMITED

(Incorporated in the Cayman Islands with limited liability) (Stock code: 8137)

POSITIVE PROFIT ALERT

This announcement is made by Honbridge Holdings Limited (the “ Company ”) and its subsidiaries (collectively, the “ Group ”) pursuant to Rule 17.10 of the Rules Governing the Listing of Securities on the GEM of The Stock Exchange of Hong Kong Limited (the “ GEM Listing Rules ”) and the Inside Information Provisions (as defined in the Listing Rules) of Part XIVA of the Securities and Futures Ordinance (Chapter 571, Laws of Hong Kong) (the “ SFO ”).

The board of directors (the “ Board ”) of the Company wishes to inform the shareholders of the Company and potential investors that, based on the currently available information which includes, but without limitation to, the unaudited management accounts of the Group, as compared to the approximately HK$416 million profit attributable to owners of the Company for the year ended 31 December 2019, over 150% increase in profit attributable to owners of the Company for the year ended 31 December 2020 is expected. The significant increase in profit was mainly attributable to (1) a significant reverse of impairment of exploration and evaluation assets, which is due to the increase in the recoverable amount of the exploration and evaluation assets in relation to the Sul Americana de Metais S.A. (“ SAM ”) project. The increase is mainly due to the increase in iron concentrate price; (2) decrease in impairment loss on property, plant and equipment and (3) increase in gross profit for the year ended 31 December 2020. The increase in profit was partially set-off by the impairment loss on inventories in relation to the Zhejiang lithium-ion battery project, loss on deemed disposal of a subsidiary, increase in loss on financial assets at fair value through profit or loss and increase in share of loss of associates for the year ended 31 December 2020.

As the Company is still in the process of finalising the audited consolidated financial results of the Group for the year ended 31 December 2020 (the “ 2020 Final Results ”), the information contained in this announcement is based on a preliminary assessment made by the management of the Company with reference to the information most currently available including the Group’s latest consolidated management accounts, and such information or figures have not been reviewed or audited by the auditors of the Group nor approved by the Audit Committee and the actual results of the Group for the year may differ from the information disclosed herein. Shareholders and potential investors are advised to read carefully the announcement to the 2020 Final Results which is scheduled to be published on 24 March 2021.

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

By Order of the Board Honbridge Holdings Limited YEUNG Ho Ming Company Secretary

Hong Kong, 15 March 2021

As at the date of this announcement, the Board comprises Mr. He Xuechu, Mr. Liu Jian and Mr. Liu Wei, William as executive directors; Mr. Ang Siu Lun, Lawrence and Mr. Yan Weimin as non-executive directors and Mr. Chan Chun Wai, Tony, Mr. Ma Gang and Mr. Ha Chun as independent non-executive directors.

This announcement, for which the Directors of the Company collectively and individually accept full responsibility, includes particulars given in compliance with the Rules Governing the Listing of Securities on GEM of The Stock Exchange of Hong Kong Limited for the purpose of giving information with regard to the Company. The Directors, having made all reasonable enquiries, confirm that to the best of their knowledge and belief the information contained in this announcement is accurate and complete in all material respects and not misleading or deceptive, and there are no other matters the omission of which would make any statement herein or this announcement misleading.

This announcement will remain on the “Latest Company Announcements” page of the GEM website at www.hkgem.com for at least 7 days from the date of its publication and on the website of the Company at www.8137.hk.