On June 14, Guangdong Lingnan Water Group (03768.HK) announced that on June 14, 2024, it received the "Notice of Assistance in Execution" ((2024) YUN0112 ZHI1339) issued by the Xishan District People's Court of Kunming City, Yunnan Province ("Xishan District People's Court"), and learned that the shares held by the company's controlling shareholder Kunming Dianchi Investment Co., Ltd. ("Kunming Dianchi Investment") have been frozen, as follows:

Notice of Assistance in Execution

According to the Notice of Assistance in Execution, in the case of notarized debt document dispute between Ping An Bank Co., Ltd. Kunming Branch and Kunming Dianchi Investment and its affiliated company Kunming Sewage Treatment Facility Management Co., Ltd. ("Kunming Sewage"), Xishan District People's Court froze 60.95% of the company's shares held by Kunming Dianchi Investment at the request of applicable legal documents. The freezing period is three years, from June 14, 2024 to June 14, 2027.

The company and Kunming Dianchi Investment are independent in terms of assets, operations, finance, etc. The seizure and freezing of the company's shares held by Kunming Dianchi Investment announced in this announcement will not affect the company's normal operation or have a significant impact on the company's main business, continued operations, or other aspects. As of the date of this announcement, the company's operations remain normal.