Haodex Limited (NSX:HAO) Executes Framework Agreement

Sydney, Mar 31, 2022 AEST (ABN Newswire) - Haodex Limited (NSX:HAO) is pleased to announce that its 78% owned omnichannel marketplace, Bulkbuy has executed a Framework Agreement ("Agreement") with Nanjing Zhonghe Ronghui Information Technology Co.,Ltd ("NJZH") for the establishment of a long-term strategic partnership for the development of cross-border e-commerce platform supply chain services.

NJZH has an existing international logistics chain including warehousing facilities in China and internationally including the USA and Europe. NJZH also has an existing network of factories, agricultural and other suppliers (merchants) that currently use their logistics network. This agreement with Bulkbuy will allow Bulkbuy to access NJZH's network of merchants to join them in the Bulkbuy international network. It also allows these and other existing suppliers already affiliated with Bulk buy to access the extensive international logistics chain that NJZH has already established and to which NJZH provides all logistics services.

Haodex's Chairman Frank Huang commented:

"NJZH is a strategic partner of Bulkbuyworld. In the future, it will bring not only a large number of merchants and logistics systems to Bulkbuyworld, but also many unexpected Chinese resources to Bulkbuyworld."

Terms of the Framework Agreement

Under the Framework Agreement, the following terms are agreed by both parties:

- NJZH to construct the domestic and international logistics network;

- NJZH to provide supply chain services including, but not limited to, raw material supply, warehousing, distribution, express delivery, sorting, processing, etc;

- NJZH to provide supply chain financial services including, but not limited to, financial asset procurement, warehouse receipt pledge, credit sales, order billing period, etc.;

- Bulkbuy to be responsible for platform maintenance, upgrade, transformation and daily operations;

- Bulkbuy to refer its existing merchants to NJZH for supply chain services including warehouse, logistics, distribution and financial services;

- Bulkbuy to set up a specific channel on the platform for NJZH and NJZH are to manage quality control with Bulkbuy.

Under this Framework Agreement, Bulkbuy will generate revenue for itself in two ways. Firstly, NJZH will introduce cross-border merchants to Bulkbuy and these merchants will pay a fee for joining the Bulkbuy network ("Network Services Charge"). Bulkbuy will pay 20% of the network service charge received from each of the new merchants back to NJZH as a services fee.

Secondly, NJZH will charge supply chain services fees to each merchant that is part of the Bulkbuy network for the provision of the NJZH supply chain and services. NJZH will pay Bulkbuy 20% of the revenue generated from the supply chain finance services.

Network Services Charge

In accordance with the Bulkbuy world platform agreement, each entrant (merchants) will be charged a CNY2,000 network services fee when they accept the terms of the Bulkbuy world platform agreement.

The Framework Agreement will take effect from execution and will be valid for 36 months. Either party may terminate the Framework Agreement upon 30 days written notice. The Agreement will automatically extend for a further year if either party has no objection to the continued performance of this Agreement.

About Nanjing Zhonghe Ronghui Information Technology Co.,Ltd ("NJZH")

NJZH is a subsidiary of China Co-op Investment Co.,Ltd. China Co-op Investment Co.,Ltd was established in December 2005 and is an investment and finance platform established by China CoOp Group Limited and China Development Bank for the implementation of China . China Co-Op Group is also known as China Supply and Marketing Group and is a large group in the agriculture related industry. Its foundation has been approved by the State Council.

NJZH was established with the main goal of serving grass-roots supply and marketing cooperatives and farmers' professional cooperatives. NJZH has built a digital platform for the farmers' cooperation, which includes supply and marketing and credit sales.

About Bulkbuy World

BulkBuy is a wholesale e-commerce marketplace that allows users to participate in group buying deals. BulkBuy enables merchants to set up an online store and sell products from Chinese factories directly at wholesale prices to all USA customers similar to the operation of Amazon by allowing several customers to participate in group buying deals (crowd-ordering). On the Bulkbuy marketplace, Haodex generates revenue from sales commissions, membership fees and product listing fees.

Bulkbuy now has set up several provincial offices including Beijing, Guandong, Sichuan, Zhejiang, Jiangxi and Hanan with local franchises.


About Haodex Limited

Haodex Limited (NSX:HAO) is an Australian company focused on forward thinking online platforms and global projects.

Haodex owns 78% of and operates 2 omnichannel marketplaces, being MonkeyKing Australia (www.monkeykingaustralia.com) and BulkBuy (www.bulkbuyworld.com), and owns 100% of a short term Chinese accommodation hosting business, Franks Haus (www.frankshaus.com).

MonkeyKing is an online e-commerce platform which sources Australian products from Australian suppliers to distribute to consumers in Asia, mainly China.

BulkBuy is a wholesale e-commerce marketplace which allows users to participate in group buying deals. BulkBuy enables merchants to set up an online store and sell products directly to customers at wholesale prices by allowing several customers to participate in group buying deals (crowd-ordering).

Franks Haus is an online platform for leasing private properties, mainly for short term accommodation, in China. The platform will attract tourists