Zhitong Finance App News, WMCH GLOBAL (08208) issued an announcement. On April 9, 2024, the company signed a letter of intent with Shaanxi Foping County Trading Network Technology Co., Ltd. (hereinafter referred to as “Party B”), which has no legal effect, relating to cooperation discussions on the construction of an e-sports plaza and various aspects of the e-sports business.

According to the letter of intent, the scope of business cooperation includes:

1. The two sides cooperate to develop the global e-sports game Happy Valley chain brand and build the e-sports plaza through their respective advantages. The first e-sports plaza is planned to be hosted in major e-sports cities in mainland China, including Xi'an and Zhengzhou, and gradually expanded to large and medium-sized cities across the country in the first phase. The second phase expanded to Southeast Asia and beyond.

2. Regarding its experience and advantages in the field of civil and structural engineering consulting, particularly with its long-term multinational experience in Singapore and Vietnam, Party A has rich structural engineering consulting services in multiple fields; combined with the advantages of Shaanxi Foping County Trading Network Technology Co., Ltd. in the e-sports industry, it will set up a working group and formulate a cooperation plan and promotion schedule within 1 month after signing the letter of intent, and aim to complete the specific cooperation plan and sign the cooperation contract within 3 months of signing the letter of intent.

3. Since the e-sports competition venue is a brand-new real estate development project, the two sides are willing to become a strategic partner in the national e-sports market service platform through organic cooperation, jointly develop and become one of the most important participants in this field.

4. The two sides promote in-depth cooperation in the design, civil and structural engineering consulting, master planning, and construction services, technology research and development, marketing, and competition organization of e-sports plazas and Happy Valley in the e-sports industry.

5. Based on its own GEM listed company in Hong Kong, China, Party A has rich consulting and construction experience in multinational countries such as Singapore and Vietnam, and exchange and transaction experience with international customers, and has some basic conditions for cooperation in hosting international e-sports events; Party B has always been involved in hosting and participating in e-sports events in mainland China, and has high market influence, technology, and ability to host events. To this end, a working group to be set up by the two sides will study and combine the strengths of both sides to host an international e-sports event in Hong Kong, China.

6. The working group will conduct extensive discussions and consensus on the organization and management of international and national competition area selections, registration teams, and entry into the final competition championship, runner-up and third place mechanism; live streaming rights for the tournament; cumulative reading volume of topics related to the tournament on Weibo, Douyin and other platforms; competition reports covering major mainstream media; sponsorship relationships and cooperation; tournament marketing budgets, etc.

7. The two sides will work together to build internationally influential plazas suitable for hosting large-scale e-sports competitions in Hong Kong, mainland China and other regions, and promote the development of the e-sports industry in China.

The company believes that the proposed business cooperation under the letter of intent is in line with the Group's core business development strategy and plans, and that the business cooperation with Shaanxi Foping County Trading Network Technology Co., Ltd. will help the Group carry out e-sports plaza construction and related business, and is in line with the overall interests of the company and its shareholders.