The Board of Directors of GP Batteries International Limited announced that the company has entered into a joint venture agreement with Hanoi Battery Joint Stock Company, an associated company of the Company incorporated under the laws of Vietnam in which the Company holds 30%. of the total shares, with respect to a joint venture company to be formed, to undertake a joint venture project of manufacturing and selling battery products in Vietnam. According to the terms of the JV Agreement, the Company and HABACO will establish a joint venture company under the laws of Vietnam with the proposed name of “GP BATTERIES (VIETNAM) LLC”.

To implement the Investment Project, NewCo will: acquire a land located at N3 Street, C Zone, Hoa Mac Industrial Zone, Duy Tien District, Ha Nam Province, Vietnam, which is currently under the possession and management of Ha Noi Battery One Member Limited Liability Company; and develop a battery manufacturing plant on the Land. According to the terms of the JV Agreement, the total investment cost of the Investment Project is $6,000,000.