ASSET CHAIN (00616) along with Hyperchain Holdings and Jiezhou have jointly signed a memorandum of understanding with CW Capital Holdings.

ASSET CHAIN (00616) has announced that on June 29, 2026, the Group, Chain Capital Holdings Limited (Joint Venture Company), and Shenzhen Jiezhou Technology Co., Ltd. (Jiezhu) entered into a non-legally binding Memorandum of Understanding with CW Capital Holdings (Target Company) regarding a potential subscription of convertible notes of the Target Company (Subscription Matter). According to the Memorandum of Understanding, the Group, Joint Venture Company, and Jiezhou (collectively referred to as "Investors") plan to subscribe to a total of $20 million USD of interest-bearing convertible notes of the Target Company, with the Group intending to invest approximately $10 million USD. The Target Company is an investment holding company registered in the Cayman Islands, and its subsidiary's main business is providing operational funding financing platforms to e-commerce merchants. The main operating subsidiary of the Target Company, Bridge Pilot Limited (Bridge Pilot), operates a Hong Kong financial technology platform that focuses on providing e-commerce financing for small to medium-sized cross-border e-commerce merchants. Since 2016, the platform has served over 500 clients and provided over $500 million USD in funding. According to the information provided by the Target Company's supply chain finance, Bridge Pilot has received support from a wide range of reputable institutional investors, including venture capital funds, strategic corporate investors, and family offices. The Target Company has also signed accounts receivable securitization financing agreements with leading global banks to access institutional-level funding to support its expanding e-commerce loan portfolio. The Joint Venture Company is a limited company registered in the Cayman Islands, with the expected main business of developing and/or investing in blockchain financial technology and related businesses. The Group collaborates with Harvest Vast Limited (a subsidiary of Futu Holdings Limited), iMerchants Asia Limited (a joint venture company of Horizons Ventures), Taichi Miza Limited, and Taichi Mixa Limited Partnership in the Joint Venture Company. Jiezhou is a company established in the People's Republic of China, specializing in integrating data across the entire chain of transactions, payments, customs, and logistics, and using artificial intelligence (AI) models for risk assessment to provide reliable bases for loan decisions. By cross-validating data from multiple sources and combining AI risk control models, it is believed that this model can accurately assess the credit ratings and risk levels of enterprises. Jiezhou's main shareholders include Zhang Yi, Shanghai Yunxin Entrepreneurial Investment Co., Ltd. (a wholly-owned subsidiary of Ant Technology Group), among others. The Board believes that once the Subscription Matter is finalized, it will provide the Company with an opportunity to expand its business portfolio from its core property development and property investment business to the rapidly growing financial technology and cross-border e-commerce financing space. In line with the Company's recent strategic developments, such as the establishment of a joint venture to participate in blockchain technology and related businesses, such as asset tokenization, and utilizing Bridge Pilot's data-driven financing platform for cross-border e-commerce sellers to strengthen the Company's cross-border e-commerce loan financing business and establish potential synergies in cooperation with Jiezhou in cross-border e-commerce loan financing services. The Board also believes that by subscribing to the interest-bearing convertible notes of the Target Company, the Company can earn regular interest income while retaining the option to participate in the appreciation of the Target Company's equity (through conversion), achieving a balance between risk and return. Combining fixed income with potential capital appreciation makes the interest-bearing convertible notes a suitable tool for diversifying the Company's investment portfolio and enhancing overall returns. The Company believes that the Target Company's financing business has significant growth potential with the addition of these investors and subsequent business collaboration synergies. Therefore, the Board believes that the Subscription Matter is in the best interest of the Company and its shareholders.