AGTech : Announcements and Notices - Inside Information Commencement of Competition Poker Business

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AGTech Holdings Limited

亞博科技控股有限公司*

(incorporated in Bermuda with limited liability)

(Stock Code: 8279)

INSIDE INFORMATION COMMENCEMENT OF COMPETITION POKER BUSINESS

This announcement is made by AGTech Holdings Limited (the "Company", and its subsidiaries collectively, the "Group") pursuant to Rules 17.10(2)(a) of the Rules Governing the Listing of Securities on the Growth Enterprise Market of the Stock Exchange (the "GEM Listing Rules") and the Inside Information Provisions under Part XIVA of the Securities and Futures Ordinance (Cap. 571 of the Laws of Hong Kong).

The board of directors (the "Director(s)") of the Company is pleased to announce that the Group was awarded an exclusive 5-year priority operation right in China by the Chess and Poker Games Administrative Centre under the General Administration of Sport of China (the "Chess and Poker Centre") in the People's Republic of China for all competitive play of the Chinese card game Guan Dan ("Competition Guan Dan") through an open tender.

Pursuant to the entering into of a relevant cooperation agreement between the Group and Tianjin Zhongqi Weiye Sports Development Co., Ltd. ("Zhongqi Weiye"), the Group has become one of the strategic partners and organisers of the China Competition Two-on-One Poker Championship ("Competition Poker"). Hosted by the Chess and Poker Centre, the China Competition Two-on-One Poker Championship is the most authoritative state-level event in the field of Competition Poker in China. Players who participate in relevant poker competitions will be awarded, among other things, national-level ratings, technical registration titles and bonuses.

To promote the development of the competition poker business, the Group started to devote resources to the planning and preparation work a few years ago. The launch of the Group's competition poker business marks the Group's official entry into the mind sports field of the China sports industry. Regulated competition poker business is complementary to the Group's regulated lottery business and is expected to contribute to the growth of the Group's revenue through the provision of an enriched range of entertainment products to its customers in China.

* For identification purposes only

Poker is a popular game among Chinese people with a large base of enthusiasts in China and worldwide. Two popular poker games such as Competition Guan Dan and Competition Poker are gradually being recognised as mind sports events. Another well-known card game, contract bridge, together with Go, Chinese chess, chess and checkers are five sporting events all governed by the International Mind Sports Association (a SportAccord member).

As the exclusive operating entity of the Chess and Poker Centre, Zhongqi Weiye has already established a Competition Chess Tournament Service Management Platform (the "Competition Service Platform"). The Group has been authorised to connect the Group's competition software with the Competition Service Platform developed by Zhongqi Weiye, as well as to bid for, host, organise and operate Competition Guan Dan and Competition Poker tournaments. Through cooperation, the Group and Zhongqi Weiye will work as partners to promote and develop the competition poker business.

The Directors consider that the launch of the Group's competition poker business under governmental authorization marks the Group's official entry into the mind sports field of the China sports industry. The Directors also expects that the competition poker business will create synergistic effect with the Group's lottery business.

The Directors believe that the competition poker business is able to bring about new business growth, facilitate the exchange and interaction between online and offline users by leveraging online and offline competitions, and to provide the Group's lottery users with a wider range of entertainment products through the online and offline channels of the Group's lottery business, producing positive interaction with the lottery business.

Neither the Directors nor the substantial shareholders of the Company has any direct or indirect interest in Competition Guan Dan or Competition Poker.

To the best knowledge, information and belief of the Directors having made all reasonable enquiries, Zhongqi Weiye has a common shareholder with a subsidiary of the Company. However, as the subsidiary is an insignificant subsidiary of the Group (as defined in the GEM Listing Rules), according to the GEM Listing Rules, Zhongqi Weiye is not a connected person (as defined in the GEM Listing Rules) of the Company.

Holders of the shares or other securities of the Company and potential investors of the Company are advised to exercise caution when dealing in the shares or other securities of the Company.

By order of the Board

AGTech Holdings Limited Sun Ho

Chairman & CEO

The Hong Kong Special Administrative Region

of the People's Republic of China, 18 January 2017

As at the date of this announcement, the Board comprises (i) Mr. Sun Ho and Mr. Zhou Haijing as executive Directors; (ii) Mr. Zhang Qin, Mr. Yang Guang, Mr. Ji Gang and Mr. Zhang Wei as non-executive Directors; and (iii) Ms. Monica Maria Nunes, Mr. Feng Qing and Dr. Gao Jack Qunyao as independent non-executive Directors.

This announcement, for which the Directors collectively and individually accept full responsibility, includes particulars given in compliance with the Rules Governing the Listing of Securities on the Growth Enterprise Market ("GEM") of the Stock Exchange of Hong Kong Limited for the purpose of giving information with regard to the Company. The Directors, having made all reasonable enquiries, confirm that, to the best of their knowledge and belief, the information contained in this announcement is accurate and complete in all material respects and not misleading or deceptive, and there are no other matters the omission of which would make any statement herein or this announcement misleading.

This announcement will remain on the "Latest Company Announcements" page of the GEM website operated by the Stock Exchange at www.hkgem.com for at least seven days from the day of its posting and will be published on the website of the Company at www.agtech.com.