The Board of Directors of China Ouhua Winery Holdings Limited (“COWHL” or “the Company”) wishes to inform that the Company had on 16 June 2017 received a Notice of Withdrawal of Consent for Re-appointment as Auditors of the Company from Helmi Talib & Co. (“HTC”) [“Letter of Withdrawal”].  HTC decided to withdraw its consent for re-appointment as Auditors of the Company as it does not satisfy the criteria for Recognition of Foreign Auditors which requires a foreign audit firm to be an internationally affiliated network firm.

Further to the receipt of the Letter of Withdrawal, the Board had on today, 19 June 2017 resolved to withdraw the Resolution 4 under agenda item 5 in relation to the re-appointment of Messrs Helmi Talib & Co. as Auditors of the Company and to authorise the Directors to fix their remuneration [“hereinafter referred to as Resolution 4”] as stated in the Notice of the 2017 Annual General Meeting (“AGM”) of the Company scheduled to be held on Friday, 23 June 2017.

With the withdrawal of Resolution 4, this resolution would not be tabled for consideration by the shareholders at the 2017 AGM.

The above decision by the Board to withdraw the Resolution 4 was made after considering Paragraph 4A.09 of the Main Market Listing Requirements which states that a foreign issuer with a primary listing must:-

(a)        appoint an external auditor from an international accounting firm or an accounting firm with international affiliation; and

(b)        ensure that the auditing standards applied are in accordance with the approved auditing standards applied in Malaysia or International Standards on Auditing.

The terms of office of HTC as the Auditors of the Company will expire at the conclusion of the 2017 AGM. The Board will take the necessary steps to convene an Extraordinary General Meeting to appoint an Auditor in due course.

The Notice of Withdrawal of Resolution 4 is attached.