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Walcom Group Ltd - Company Update and Resignation of Deputy CFO

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR").

31 December 2019

(“Walcom” or “the Company”)

Company Update

Resignation of Deputy Chief Financial Officer

Further to its announcement on 23 December 2019, the Company announces that it is in advanced discussions with Mr Francis Chi, Chief Executive of the Company, regarding the provision of a loan of HK$1 million, which is expected to be made available by the second week of January 2020. The Company expects a further loan of HK$0.5 million to be provided by Mr Francis Chi before the end of January 2020. On the basis that the loans are received by the Company as currently envisaged, the Company expects to be able to meet its liabilities as they fall due until the end of January 2020.

Whilst the Board is hopeful that discussions with Mr Francis Chi will have a successful outcome, there can be no guarantee that the loans will be provided, and the Company’s working capital position will be stabilised. In this instance, the Company may be unable to continue its operations and may be forced into liquidation with a consequential diminution in value to shareholders.

The Company also announces that Ms Hwai Ming Chan (Jessie) has informed the board of Walcom that she intends to step down as Deputy Chief Financial Officer and Company Secretary of the Company, with effect from 29 February 2020. The Board would like to express its thanks to Ms Chan for her contribution to the Company. The Company intends to seek a replacement for Ms Chan and further announcements will be made in due course.

Further enquiries:

Walcom Group Limited
Francis Chi (Chief Executive Officer/Chief Financial Officer)
Jessie Chan (Deputy Chief Financial Officer)
+852 2494 0133
Allenby Capital Limited (Nominated Adviser and broker)
David Hart / Asha Chotai
+44 20 3328 5656