General Announcement::UPDATES TO SHAREHOLDERS

SUNMOON FOOD COMPANY LIMITED

(Incorporated in the Republic of Singapore)

(Company Registration No. 198304656K)

UPDATES TO SHAREHOLDERS

Unless otherwise defined, capitalised terms used herein shall bear the same meaning as ascribed to them in the 10 Feb 2021 Update Announcement (as defined below).

The Board of Directors (the "Board") of SunMoon Food Company Limited (the "Company" and its subsidiaries, the "Group") refers to (i) the announcement made by the Company dated 10 February 2021 ("10 Feb 2021 Update Announcement"); (ii) the announcement made by the Company dated 4 February 2021; and (iii) the announcement made by the Company dated 28 October 2020. For a more complete background, Shareholders may wish to refer to the Company's announcements dated 12 October, 15 October and 17 October 2020.

Further to the SMF Shanmai Purchase of AR Agreement and SMDT Purchase of AR Agreement, the Board wishes to announce the following:

1. That SMF Shanmai had entered into a supplemental agreement with SSMY on 10 June 2021
   ("SMF Shanmai AR Supplemental") to supplement and vary the SMF Shanmai Purchase of AR Agreement in the manner as set out in the SMF Shanmai AR Supplemental and as described in paragraph 1 below; and
2. That SMDT had entered into a supplemental agreement with SSMY on 10 June 2021 ("SMDT AR Supplemental") to supplement and vary the SMDT Purchase of AR Agreement in the manner as set out in the SMDT AR Supplemental and as described in paragraph 2 below.

1. SMF Shanmai AR Supplemental

Under the terms of the SMF Shanmai Purchase of AR Agreement, it was provided, inter alia, that SSMY will pay as follows:

Date of repayment	Amount (RMB)
By 31 March 2021	2,283,795
By 30 April 2021	1,500,000
By 31 May 2021	1,500,000
By 30 June 2021	1,500,000
By 31 June 2021	1,500,000
Sub-total	8,283,795

Pursuant to the SMF Shanmai AR Supplemental, SMF Shanmai has agreed with SSMY that the repayment schedule will be amended as follows:

Date of repayment	Amount (RMB)
By 31 March 2021	2,283,795
By 30 April 2021	1,500,000
By 30 June 2021	4,500,000
Sub-total	8,283,795

As at the date of this announcement, Shareholders are to note that SMF Shanmai had already received RMB3,783,795 out of RMB8,283,795. For the avoidance of doubt, the outstanding amount based on the repayment schedule is RMB4,500,0000.

There are no changes to the clause in relation to the purchase of account receivables of RMB 11,928,944, which will be paid to SMF Shanmai within ten (10) working days from the date of Total Aug 2020 Repayment (as defined in the 10 Feb 2021 Update Announcement).

2. SMDT AR Supplemental

Under the terms of the SMDT Purchase of AR Agreement, it was provided that SSMY will pay the amount of USD 2,035,776 (approximately S$2,699,133) three (3) months after the completion of the WinChain bankruptcy reorganisation plan (as approved by the Chinese Court on 2 February 2021).

Pursuant to the SMDT AR Supplemental, SMDT has agreed with SSMY that the payment of the amount of USD 2,035,776 will be paid by 31 March 2022.

Shareholders of the Company and potential investors are advised to exercise caution when dealing in the shares of the Company. The Company will make the necessary announcements as and when there are material developments on this matter. Shareholders of the Company and potential investors are advised to read all announcements by the Company carefully and to consult their stockbrokers, bank managers, solicitors or other professional advisers if they have any doubt about the actions they should take.

BY ORDER OF THE BOARD

SUNMOON FOOD COMPANY LIMITED

James Prideaux

Chairman and Lead Independent Director

10 June 2021