China New Economy Fund Limited was informed by Mr. Lam Chun Ho on 23 April 2018 that Morris Global Capital Limited has acquired in aggregate 163,959,664 shares of $0.5 each in the company equivalent to approximately 14.03% of the entire issued share capital of the company. As a result of which Morris Global became a substantial shareholder of the company. As at the date of this announcement, Mr. Lam is a director of a wholly-owned subsidiary of Morris Global and hence Mr. Lam is no longer be considered to be independent to the company for the purpose of being an independent non-exclusive director of the company. Mr. Lam has therefore, been redesignated from an independent non- executive Director to a non-executive Director with effect from 25 April 2018. Mr. Lam has also resigned as the chairman of the Audit Committee and the Remuneration Committee of the company with effect from 25 April 2018 but will remain as member of the Audit Committee and the Remuneration Committee of the company. Mr. LAM Chun Ho was appointed as an independent non-executive Director since 22 October 2014. He is the chairman of each of the Audit Committee and Remuneration Committee as well as a member of the Nomination Committee of the company. The Board further announced that following the Redesignation, Mr. Chong Ching Hoi, who is a member of the Audit Committee and the Remuneration Committee of the Company, has been appointed as the chairman of the Audit Committee and the Remuneration Committee of the company with effect from 25 April 2018.