Huayi Tencent Entertainment : Subsidiary, YZN Entered into a Strategic Cooperation Agreement with Tencent Cloud Promote Digitalisation of Healthcare Industry as Tencent Cloud’s Core Healthcare Partner

HUAYI TENCENT ENTERTAINMENT COMPANY LIMITED

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 419.HK)

Huayi Tencent Entertainment Subsidiary, YZN Entered into a

Strategic Cooperation Agreement with Tencent Cloud

Promote Digitalisation of Healthcare Industry as Tencent Cloud's

Core Healthcare Partner

(30 May 2023, Hong Kong) Huayi Tencent Entertainment Company Limited("Huayi Tencent Entertainment", the "Company"; Stock code: 419.HK; together with its subsidiaries collectively known as the "Group") is pleased to announce that its subsidiary "Shaanxi Yizhinuo Information Technology Company Limited" ("YZN") and Tencent Cloud Computing (Beijing) Company Limited("Tencent Cloud"), a subsidiary of Tencent Holdings Limited ("Tencent", Stock Code: 700.HK) , entered into the strategic cooperation agreement which valid for a term of two years. Both parties agreed to form a strategic partnership and engage in business cooperation in multiple fields, including the procurement of digital human products, medical science popularisation, medicine knowledge database, AI, audio-visual and other products, the co-development of new products, the integration and sharing of each other's basic resources, and the co-branding events of both parties, in a concerted effort to promote digitalisation of the healthcare industry, and provide technical services, product development and tailor-made operation solutions for healthcare companies.

The Leading Digital Operation Solution Provider Partnering with Internet Giant to Promote Research and Development of AI Technology in Healthcare Industry

As a core healthcare partner of Tencent Cloud, YZN will fully leverage on its innovative technological skills and research and development (R&D) capabilities in the healthcare industry to promote the R&D of AI technology, particularly the research in few-shot learning (FSL) and AI generated content (AIGC), and its application in healthcare industry, with Tencent Cloud. The parties will work together to expand market reach and complete the implementation, deployment, operation and promotion of the AI products. By making full use of its essential products and capabilities accumulated during its long-term development within the Internet industry and platform-based product categories in the healthcare industry, Tencent Cloud will work with YZN in

R&D and product launch in the healthcare industry to maximise the value generated by their synergy.

According to the agreement, this strategic cooperation between YZN and Tencent Cloud will cover areas including but not limited to the procurement of digital human products, medical science popularisation, medicine knowledge database, AI, audiovisual and other products, the co-development of new products, the integration and sharing of each other's basic resources, and the co-branding events of both parties. The specific cooperation projects included that YZN will develop smart AI assistants for doctors with Tencent Cloud's powerful AI infrastructure and through its technologies such as voice interaction, virtual image model generation, image recognition and AIGC. For doctors, the doctor AI assistants can help them to process a large amount of medical data rapidly, improve diagnosis efficiency and accuracy, and reducing the repetitive workload in healthcare practice to achieve cost reduction and efficiency increase. For patients, doctor AI can assist doctor in quick response to the their needs and questions through multi-model dialogues, helping them better understand diseases and treatment to advance doctor-patient interaction. For healthcare industry, doctor AI assistants help doctors improve diagnosis techniques with medical knowledge and clinical practice experience and explore new knowledge from medical data to facilitate the dissemination of medical knowledge.

In addition, YZN and Tencent Cloud will have a joint project for building a healthcare 'village' in China. This project aims to bring together relevant organisations and individuals in the healthcare industry (such as large pharmaceutical and medical device companies, healthcare chains, primary healthcare institutions, experts and professors in various disciplines and primary care doctors) through the integration of YZN's scenario-based healthcare service platform. YZN will work with Tencent Medipedia to provide the public with popular knowledge about healthcare in a professional and effective way, making science-based and reliable medical knowledge understandable to the public, so as to enhance the trust and partnership between doctors and patients.

YZN is strategically positioned as a partner for digital operation in healthcare industry. It is committed to promoting the digital transformation of healthcare companies, providing digital operational solutions for these companies across the entire development cycle through its online and offline synergistic development. Leveraging on various self-developed products such as the "Cistanche" digital operational platform and the introduction of AI capabilities, it empowers doctors, patients, pharmacies, healthcare companies and other ports to effectively connect with each other and carry out private domain operation in all scenarios. Based on the TOB strategy, YZN has been dedicated to building a healthcare service platform encompassing all scenarios, and a healthcare services ecosystem that covers the entire industry chain. It has established nine operation centers in 27 provinces across China. YZN adheres to the philosophy of "symbiosis, joint efforts, and win-win" with its partners to promote digitalisation of the healthcare industry, with the aim of making healthcare "specialist" and healthcare service accessible to everyone.

Tencent Cloud is a cloud computing brand of Tencent. It provides world-class cloud computing, AI, big data and other technology products and services. Tencent Cloud relies on superior technological capabilities to create diverse industry solutions and

build an open, mutually beneficial cloud ecosystem that promotes digital upgrades in various industries. Tencent, the parent company of Tencent Cloud, is indirectly interested in approximately 15.58% of the issued shares of Huayi Tencent Entertainment.

Mr. Yuen Hoi Po, Executive Director and Chief Executive Officer of Huayi Tencent Entertainment, said, "The Company is honored that YZN has become Tencent Cloud's core healthcare partner, as our resources complement each other and generate synergies. This partnership confirms our leading position in the digital healthcare industry and enable to provide strong support for Tencent Cloud's redevelopment of healthcare products. YZN will also leverage Tencent Cloud's cloud products, AI technology, and its own resource advantages accumulated during its long-term development in the Internet industry to continue optimizing its products and service ecosystem. Looking forward, YZN will continue to build its product system and provide professional SaaS products to pharmaceutical companies, seizing the opportunity of the demand for healthcare digitalization and the AI wave. This will bring growth momentum to our business and create greater value for our shareholders."

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About Huayi Tencent Entertainment Company Limited

Huayi Tencent Entertainment Company Limited (Stock Code: 00419.HK) conducts businesses mainly in internet medical healthcare sector, including "YZN", a pharmaceutical digital operation service platform, and "Meerkat Health", an intelligent health management platform, striving to provide a series of online healthcare services and to build an internet healthcare platform ecosystem.

For more information about Huayi Tencent Entertainment, please visit the official website of the Group: http://www.huayitencent.com.

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