China Digital Culture (Group) Limited and its subsidiaries (the "Group") further delay in publication of audited results announcement and dispatch of annual report for the year ended 31 December 2021. The Company would like to further update the shareholders of the Company and potential investors that, due to the recent implementation of the COVID-19 related prevention, control and quarantine measures in certain cities of the PRC especially Shanghai and Suzhou, the Company's auditors (the "Auditors") were unable to reach the site of some of the Company's subsidiaries, and information and data could not be obtained in time. The Auditors still need additional time to complete their audit procedures, including but not limited to (i) the information of audit confirmation from debtors and financial institutions; and (ii) various accounting balances and valuation reports of financial investments.

As a result of which, the Auditors will require additional time to complete the necessary audit work so as to finalize the 2021 Audited Results, and the publication of the announcement for the 2021 Audited Results and the 2021 Annual Report will hence be further delayed and the Company will not be able to publish 2021 Audited Results and dispatch the 2021 Annual Report on or before 31 August 2022. Based on the latest discussion between the Company and the Auditors, it is expected the announcement for the 2021 Audited Results and the 2021 Annual Report will be published on or before 30 September 2022. Application has been made to the Stock Exchange for the approval for the delay in publication of the announcement for the 2021 Audited Results and dispatch of the 2021 Annual Report.