Sinopharm Tech Holdings Limited announced that a wholly-owned subsidiary of the Company, Shenzhen Guoke Anti-counterfeiting Technology Co. Ltd. and Tencent Cloud Computing (Beijing) Co. Ltd., have entered into a cooperation agreement, pursuant to which the parties intend to jointly explore potential cooperation opportunities.

The agreed content of cooperation of the cooperation agreement is as follows: 1. Based on Tencent Reassurance Platform of Tencent Cloud and Anti-counterfeiting device with lottery ("ACL") of Guoke Anti-counterfeiting, both parties jointly explore to create joint product, build a system of traceability, anti-counterfeit and marketing, which will be applied in agricultural and sideline products industry; 2. Based on the joint product of "Tencent Reassurance Platform + ACL", both parties explore the cooperation in traceability and anti-counterfeit in the traditional Chinese medicine industry; 3. Based on blockchain technology of Tencent, both parties jointly explore cooperation in NFT (non-fungible token) digital collectables, helping in the promotion of intangible cultural heritage; 4. The specific promotion and operation arrangement of the joint products shall be separately agreed and confirmed by both parties in writing. The above content of cooperation listed in the cooperation agreement is the intention of both parties only, and the intention of cooperation is non-exclusive. Both parties will make reasonable commercial efforts in the realization of such intention, and will sign a specific cooperation agreement after reaching a consensus.

The cooperation agreement is effective for two years.