MELCO INT'L DEV (00200): Regarding the development of land in Zhongshan in collaboration with Country Garden

MELCO INT'L DEV (00200) announced that, in relation to the announcement titled "Land Development in Zhongshan" released on June 23, 2021 ("2021 Announcement"), as well as the disclosure in the interim reports and annual reports from 2021 to 2024, regarding the joint development of land in Zhongshan with Agile Group, we have served Agile Group a notice dated July 13, 2022, to terminate the cooperation agreement and its supplementary agreements in accordance with the Chinese Civil Code ("Termination of Joint Venture"), as Agile Group has failed to comply with certain provisions of the cooperation agreement. On June 30, 2023, we entered into a framework agreement with Agile Group regarding the divestment plan of the terminated joint venture (further supplemented on November 29, 2023). Regarding the issue of Agile Group fulfilling its payment obligations, we have initiated arbitration proceedings against Agile Group, the project company, and AGILE GROUP Holdings Limited with the China International Economic and Trade Arbitration Commission, to recover payments from Agile Group, the project company, and AGILE GROUP Holdings Limited. As disclosed in the 2024 interim report, we have also impaired the investment cost by HK$104,171,000. Our arbitration application has been accepted by the China International Economic and Trade Arbitration Commission and is pending trial. As of the date of this announcement, the case has not been heard in court.