HOSA International Denied All Accusations Against Bonitas By The Company.

HOSA International (02200) issued a notice that the company denied all accusations against Bonitas in its report.

In view of these allegations, the company has established a special committee composed of all the independent non-executive directors of the company.

The special committee has examined all entities mentioned in the report. It has not noted that any key entity is a company without disclosing the associated party, nor has it found any pactions made by the group and the key entities with abnormal commercial terms (if any).

After reviewing the reports issued by Bonitas, the internal examination conducted by the company, and the findings of the special committee, the board held that the allegations made by the report to the company were unfounded, false or misleading.

The company believes that Bonitas achieves its own purpose:

1, using unauthorized and unjustifiable use of paction data to distort part of the data in all paction records to confuse shareholders and potential investors.

2, there is no comprehensive and appropriate study of its allegations, which means that the company has disclosed the relationship between the group and the three distributors in the prospectus.

3, based on the third party with the same name as the chairman of the board, or alleged to be in charge of the same address with the company, false accusations of some suppliers are the associated party of the company.

4, deliberately using obsolete and erroneous information obtained from different websites to create confusion for the alleged related parties, and the company has already disclosed its relationship with the parties concerned in its annual report and prospectus.

The board guarantees that the company's financial reporting system is sound.

The Board believes that Bonitas has no professional understanding of the company's business model and background.

The company strongly denies the allegations and requests shareholders and potential investors to take a cautious view of reports and accusations, and will retain the right to take all reasonable actions, including legal proceedings, to protect their legitimate rights and interests from any unjustification allegations against the group.

In addition, the independent investigation is still in progress on the date of publication and is expected to be completed by or before June 30, 2019.