China Wood Optimization : INSIDE INFORMATION (1) DELAY IN PUBLICATION OF THE ANNOUNCEMENT IN RELATION TO THE 2020 PRELIMINARY UNAUDITED ANNUAL RESULTS AND THE 2020 ANNUAL RESULTS; (2) POSTPONEMENT OF BOARD MEETING; AND (3) SUSPENSION OF TRADING

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China Wood Optimization (Holding) Limited

中 國 優 材 ( 控 股 ) 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 1885)

INSIDE INFORMATION

1. DELAY IN PUBLICATION OF THE ANNOUNCEMENT IN RELATION TO THE 2020 PRELIMINARY UNAUDITED
   ANNUAL RESULTS AND THE 2020 ANNUAL RESULTS;
2. 1. POSTPONEMENT OF BOARD MEETING;

AND

(3) SUSPENSION OF TRADING

This announcement is made by the Company pursuant to rules 13.09(2)(a) and 13.49(3)(i) of the Listing Rules and the Inside Information Provisions (as defined in the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong). Reference is made to the announcement of the Company dated 19 March 2021 in relation to the notice of the Board Meeting and progress in publication of 2020 Annual Results.

DELAY IN PUBLICATION OF THE ANNOUNCEMENT IN RELATION TO THE 2020 PRELIMINARY UNAUDITED ANNUAL RESULTS AND THE 2020 ANNUAL RESULTS

The Board wishes to announce that as additional time is required for the Company to finalise the 2020 Preliminary Unaudited Annual Results; and the Auditor to complete its audit work and completing its audit procedures in respect of the 2020 Annual Results, the publication of the announcement in relation to the 2020 Preliminary Unaudited Annual Results and the 2020 Annual Results will be delayed. Pursuant to rule 13.49(3)(i)(c) of the Listing Rules, certain unaudited consolidated financial information of the Group for the year ended 31 December 2020 is set out in this announcement.

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POSTPONEMENT OF THE BOARD MEETING

Given that (i) the 2020 Preliminary Unaudited Annual Results could not be finalised; and

1. the Auditor has not completed its audit work in respect of the 2020 Annual Results, as at the date of this announcement, the Board Meeting originally scheduled to be held on 31 March 2021 for the purpose of considering and, if thought fit, approving the announcement in relation to the 2020 Preliminary Unaudited Annual Results for publication (among others) will be postponed. The Company will publish further announcement(s) to inform the Shareholders of material updates (if any) and the date of the Board Meeting to approve the announcement in relation to the 2020 Preliminary Unaudited Annual Results and the 2020 Annual Results for publication as and when appropriate.

SUSPENSION OF TRADING

At the request of the Company, trading in the Shares on the Stock Exchange will be suspended with effect from 9:00 a.m. on 1 April 2021. Trading in the Shares on the Stock Exchange is currently expected to remain suspended until the publication of the announcement in relation to the 2020 Annual Results by the Company.

This announcement is made by China Wood Optimization (Holding) Limited (the "Company"; together with its subsidiaries, the "Group") pursuant to rules 13.09(2)(a) and 13.49(3)(i) of the Rules (the "Listing Rules") Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Stock Exchange") and the Inside Information Provisions (as defined in the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong). Reference is made to the announcement of the Company dated 19 March 2021 in relation to the notice of the Board Meeting and progress in publication of 2020 Annual Results.

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DELAY IN PUBLICATION OF THE ANNOUNCEMENT IN RELATION TO THE 2020 PRELIMINARY UNAUDITED ANNUAL RESULTS AND THE 2020 ANNUAL RESULTS

Pursuant to rule 13.49(1) of the Listing Rules, the Company is required to publish an announcement in relation to its preliminary results in respect of the financial year ended 31 December 2020 (the "2020 Annual Results") not later than three months after the end of the financial year of the Company, i.e. on or before 31 March 2021. Under rule 13.49(2) of the Listing Rules, the preliminary announcement in relation to the 2020 Annual Results shall be based on the Company's financial statements for the year ended 31 December 2020 which shall have been agreed with the auditor.

Reference is made to the announcement of the Company dated 19 March 2021 in relation to, among others, the progress in publication of 2020 Annual Results. As set out in such announcement, in order to keep the shareholders ("Shareholders") and potential investors of the Company abreast of the financial position of the Company, the Company announced that it will publish the preliminary unaudited financial results of the Group for the year ended 31 December 2020 together with the audited comparative figures for the corresponding period in 2019 ("2020 Preliminary Unaudited Annual Results") on 31 March 2021.

The board (the "Board") of directors (the "Directors") of the Company wishes to announce that the publication of the announcement in relation to the 2020 Preliminary Unaudited Annual Results and the 2020 Annual Results will be delayed, and it is expected that (i) the 2020 Preliminary Unaudited Annual Results will not be available by 31 March 2021; and (ii) the 2020 Annual Results will not be available by 30 April 2021. The finalisation of the 2020 Preliminary Unaudited Annual Results and the progress of certain audit field works in the People's Republic of China ("PRC") for the 2020 Annual Results have been disrupted by the work suspension and travel restrictions in force in Hebei of the PRC to combat the outbreak of the coronavirus (COVID-19) epidemic (the "Epidemic") during the period from January 2021 to early March 2021. As a result, additional time has been required for the Company to finalise the 2020 Preliminary Unaudited Annual Results; and for the auditor of the Company (the "Auditor") to complete its audit work and completing its audit procedures in respect of the 2020 Annual Results.

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The Board acknowledges that any delay in publishing the announcement in relation to the 2020 Annual Results will constitute non-compliance with rule 13.49(1) of the Listing Rules. The Company has been and will continue to use its best endeavours to assist and cooperate with the Auditor in its performance of the required audit work, so that the announcement in relation to the 2020 Annual Results can be finalised, approved and published as soon as practicable.

The Board wishes to state that the operations of the Group have not been affected as a result of the above delay.

Certain unaudited consolidated financial information for the year ended 31 December 2020

In order to provide additional information to the Shareholders and the potential investors of the Company for a better assessment of the recent financial performance of the Group, the Board announces certain unaudited consolidated financial information of the Group for the year ended 31 December 2020 as follows in accordance with rule 13.49(3)(i)(c) of the Listing Rules:

Note: Certain amounts and percentage figures presented above have been subject to rounding adjustments. Accordingly, figures shown as totals may not be an arithmetic aggregation of the figures preceding them.

The above consolidated financial information of the Group for the year ended 31 December 2020 has been reviewed by the audit committee of the Company but has not been audited by the Auditor and may be subject to audit adjustments. Further details of the Group's consolidated financial information for the year ended 31 December 2020 will be disclosed as and when the audited consolidated financial statements of the Group for the year ended 31 December 2020 are ready for publication.

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POSTPONEMENT OF THE BOARD MEETING

As stated in the announcement of the Company dated 19 March 2021, a meeting of the Board (the "Board Meeting") for the purpose of considering and, if thought fit, approving the announcement in relation to the 2020 Preliminary Unaudited Annual Results for publication (among others) was originally scheduled to be held on 31 March 2021. Given that (i) the 2020 Preliminary Unaudited Annual Results could not be finalised; and (ii) the Auditor has not completed its audit work in respect of the 2020 Annual Results, as at the date of this announcement, the Board Meeting will be postponed.

The Company will publish further announcement(s) to inform the Shareholders of material updates (if any) and the date of the Board Meeting to approve the announcement in relation to the 2020 Preliminary Unaudited Annual Results and the 2020 Annual Results for publication as and when appropriate.

SUSPENSION OF TRADING

At the request of the Company, trading in the shares of the Company (the "Shares") on the Stock Exchange will be suspended with effect from 9:00 a.m. on 1 April 2021.

Pursuant to rule 13.50 of the Listing Rules, the Stock Exchange will normally require suspension of trading in an issuer's securities if an issuer fails to publish periodic financial information in accordance with the Listing Rules, and the suspension will normally remain in force until the issuer publishes an announcement containing the requisite financial information. Accordingly, trading in the Shares on the Stock Exchange is currently expected to remain suspended until the publication of the announcement in relation to the 2020 Annual Results by the Company.

Shareholders and potential investors are advised to exercise caution when considering the Group's unaudited consolidated financial information as disclosed in this announcement and when dealing in the securities of the Company.

By order of the Board

China Wood Optimization (Holding) Limited

Yim Tsun

Chairlady

Hong Kong, 30 March 2021

As at the date of this announcement, the executive Directors are Ms. Yim Tsun and Mr. Li Li; and the independent non-executive Directors are Mr. Zhang Dali, Mr. Pu Junwen and Mr. Lau Ying Kit.

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