SCINTRONIX CORPORATION LTD. (Company Registration Number: 199901719E) (Incorporated in the Republic of Singapore) (the "Company")

APPLICATION FOR EXTENSION OF TIME TO MEET THE REQUIREMENTS TO EXIT FROM THE WATCH-LIST AND MEMORANDUM OF UNDERSTANDING IN RELATION TO THE PROPOSED ACQUISITION OF BESTWAY STEEL BUILDING CO., LTD

1. APPLICATION FOR EXTENSION OF TIME TO MEET THE REQUIREMENTS TO EXIT FROM THE WATCH-LIST

The Company refers to the announcement released by the Company on 13 December 2013 ("Announcement"). In the Announcement, it was announced that the Company, which was placed on the Watch-List with effect from 5 December 2011, was granted an extension of time of up to three months to 5 March 2014 ("Deadline") to meet the requirements to be removed from the Watch-List.
The Company wishes to announce that it has submitted an application to The Singapore Exchange Securities Trading Limited ("SGX-ST") to extend the Deadline for another twelve months on the following bases:
(a) The Company has been actively disposing of its unprofitable assets and scaling down its loss making businesses. The Company foresees that, upon the completion of the Proposed Acquisition (as defined and explained below), the enlarged group will be able to turnaround to profitability in FY2014 and thus meet the profit requirement under Rule 1314(1) of the listing manual of the SGX-ST ("Listing Manual").
(b) Upon completion of the Proposed Acquisition, the Company is contemplating an equity fund raising ("Proposed Equity Fundraising") to provide additional working capital for Bestway (as defined below) to expand its businesses. With the Proposed Acquisition and the contemplated fund raising, the market capitalisation of the Company is expected to increase above S$40 million. The Company foresees that it would be able to meet the required average daily market capitalisation requirement of S$40 million or more for 120 market days as stated in Rule 1314(1) of the Listing Manual within the period of extension.
(c) Mr. Tu Jianhua ("Mr Tu"), the ultimate majority shareholder of the Company, and Loncin Holdings Co., Ltd ("Loncin Holdings") have indicated their strong commitment to the successful completion of the Proposed Acquisition and the Proposed Equity Fundraising in order to achieve a turnaround of the business and operations of the Company and its subsidiaries.

2. MEMORANDUM OF UNDERSTANDING IN RELATION TO THE PROPOSED ACQUISITION OF BESTWAY STEEL BUILDING CO., LTD

The Company is pleased to announce that it has entered into a memorandum of understanding ("MOU") today in relation to the proposed acquisition of the entire equity interest in Bestway Steel Building Co., Ltd ("Bestway") from Loncin Holdings ("Proposed Acquisition").
Bestway was founded in 2002 and it is based in Chongqing. Bestway is principally engaged in the design, production and installation of steel structures for office buildings, industrial buildings and
sports stadiums. Loncin Holdings is an entity that is ultimately controlled by Mr Tu and his family. Mr
Tu is also the ultimate majority shareholder of the Company.
The Company will make further announcement(s) as appropriate when the Company and Loncin Holdings enter into the definitive agreement(s) in connection with the Proposed Acquisition, including but not limited to a sale and purchase agreement ("Definitive Agreement(s)").

The Company would like to remind all shareholders of the Company and investors that there is no certainty or assurance that (a) the SGX-ST will grant the extension of the Deadline; (b) the Company will be able to meet the requirements under Rule 1314(1) of the Listing Manual; (c) the Definitive Agreement(s) will be entered into; or (d) the Proposed Acquisition will be completed. As such, shareholders of the Company and investors are advised to exercise caution when dealing in the shares of the Company and to refrain from taking any action in relation to their shares which may be prejudicial to their interests. Persons, who are in doubt, as to the action they should take, should consult their stock broker, bank manager, solicitor, accountant or other professional advisers.

By Order of the Board
Scintronix Corporation Ltd.
Yang Weimin
Executive Chairman
4 March 2014

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