On 11 December 2019, Luxey Hong Kong entered into the MOU with the Global Network (Fujian) Internet Technology Co. Ltd. (Target) in relation to the Proposed Cooperation. The Target is principally engaged in blockchain technology development and production and sales of distributed cloud storage equipment in China. To the best of the Directors' information and belief having made all reasonable enquiries, the Target is a third party independent of and not connected with the Company and its connected persons. Pursuant to the MOU, Luxey Hong Kong and the Target shall aim at establishing a strategic cooperation in blockchain technology and distributed cloud storage. Details of the cooperation shall be subject to further negotiations and execution of a formal agreement. The MOU does not create legally binding obligations on the parties in relation to the Proposed Cooperation but is legally binding as to the provisions on non-disclosure and termination. The MOU shall terminate after 2 months from the date of signing or upon signing of a formal agreement whichever is earlier. The Company has always been looking for investment opportunities to provide better returns to its shareholders. The Chinese leader recently spoke of accelerating the innovative development of blockchain technology and industry in China. It is expected that there are vast opportunities in blockchain and cloud related businesses in China. The Proposed Cooperation will enable the Company to leverage on the expertise and experience of the Target to tap into this fast growing and promising segment.