Waiver::RECEIPT OF NO-OBJECTION LETTER FOR APPLICATION FOR EOT TO ANNOUNCE HY2021 RESULTS

LY CORPORATION LIMITED

Company Registration no. 201629154K (Incorporated in the Republic of Singapore)

RECEIPT OF THE NO-OBJECTION LETTER FROM THE SINGAPORE EXCHANGE SECURITIES TRADING LIMITED (THE "SGX-ST") FOR AN EXTENSION OF TIME TO RELEASE THE UNAUDITED FINANCIAL RESULTS FOR THE HALF YEAR ENDED 30 JUNE 2021

1. INTRODUCTION
   The Board of Directors (the "Board") of LY Corporation Limited (the "Company" and together with its subsidiaries, the "Group") refers to the Company's announcement dated 29 June 2021 in relation to the Company's application to the SGX-ST for an extension of time to release the unaudited financial results of the Group for the half year ended 30 June 2021 ("HY2021").
   The SGX-ST has on 9 July 2021 advised that, based on the Company's submissions and representations to the SGX-ST, the SGX-ST has no objection to the Company's application for extensions of time to announce its HY2021 results by 14 September
   2021 (the "Waiver"), subject to the following conditions:
2. 1. the Company announcing the Waiver granted, the reasons for seeking the Waiver, the conditions as required under Catalist Listing Rule 106 and if the Waiver conditions have been satisfied. If the Waiver conditions have not been met on the date of the announcement, the Company must make an update announcement when the conditions have all been met; and
   2. submission of a written confirmation from the Company that it is not aware of any information that will have a material bearing on investors' decision which has yet to be announced by the Company.
3. REASONS FOR SEEKING THE WAIVER
   The reasons for seeking the Waiver are set out below:
4. 1. The Group's entire operations are based in Malaysia. Since the implementation of the full movement control order by the Malaysian Government on 1 June
      2021, all the Group's staff were unable to access the Group's premises except for loading and unloading activities as set out in (b) below. This is unlike the movement control order implemented in March 2020 when the Group was able to carry out partial production operations;
   2. Since 15 June 2021, some of the Group's warehouse staff have been granted access to the Group's warehouses on certain weekdays for loading and unloading purposes. However, these warehouse staff can only perform loading

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and unloading activities under the supervision of the government task force and are unable to update a substantial portion of their loading and unloading progress (in particular, activities relating to the receipt of raw materials and work-in-progress) into the Group's systems. As a result, the Group has at least one full month of inventories back-logs which have not been reflected in its systems;

1. The Group's finance staff also need access to the finance office, to ensure that the key financial records (such as delivery orders and invoices from its suppliers) are completely uploaded into its accounting system; and
2. Based on the above, the Group foresees difficulties to announce its HY2021 results no later than 45 days after the half year end, that is, by 14 August 2020.

Malaysia has implemented a National Recovery Plan ("NRP") to curb the spread of COVID-19 in Malaysia. The NRP has four (4) phases. As at the date of this announcement, five of the Malaysian states have transited into Phase 2 of the NRP. However, these states do not include Johor where the Group's operations are based. In the event that Johor transits into NRP Phase 2 by end July 2021, as a furniture manufacturing company that exports, the Group will be able to resume production operations and its staff will be able to return to office (subject to limitations and conditions that may be imposed by the Malaysian Government then) to retrieve the necessary documents and information to complete its consolidation of the Group's HY2021 results.

3. CONFIRMATION FROM THE COMPANY

The Company confirms that it is not aware of any information that will have a material bearing on investors' decision which has yet to be announced by the Company.

The Company will make an immediate disclosure via SGXNet if it is or will be in contravention of any laws and regulations governing the Company and the constitution of the Company (or the equivalent in the Company's country of incorporation) arising from the Waivers.

ON BEHALF OF THE BOARD

Tan Yong Chuan

Executive Director and Chief Executive Officer

10 July 2021

This announcement has been prepared by LY Corporation Limited (the "Company") and its contents have been reviewed by the Company's sponsor, Xandar Capital Private Limited (the "Sponsor") for compliance with the relevant rules of the Singapore Exchange Securities Trading Limited (the "SGX-ST") Listing Manual Section B: Rules of Catalist.

This announcement has not been examined or approved by the SGX-ST and the SGX-ST assumes no responsibility for the contents of this announcement, including the accuracy, completeness or correctness of any of the information, statements or opinions made or reports contained in this announcement.

The contact person for the Sponsor is Ms Pauline Sim, Head of Corporate Finance, at 3 Shenton Way, #24-02 Shenton House, Singapore 068805, telephone [phone].

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