Baguio wins FEHD contracts worth HK$482 million driving total Contracts on Hand to a historical high level

HONG KONG,Sept. 30,2022 -- Baguio Green Group Limited ("Baguio" or the "Company",Stock Code: 01397.HK) is pleased to announce that it has been awarded two 3-year service contracts,worth approximately HK$482 million in total,by the Food and Environment Hygiene Department ("FEHD") of the HKSAR Government for street cleansing services in Mong Kok district and pest control services in Wong Tai Sin district commencing 1 October 2022. The new contracts drive Baguio's total Contracts on Hand to a historical high level of approximately HK$3.8 billion (as of 30 Sep 2022).

Winning this new FEHD street cleansing contract highlights Baguio's position as a leading player in the Hong Kong cleaning market. The Company now provides FEHD street cleansing services in a total of eight Hong Kong districts,which have a total population of approximately 2.8 million. The newly won pest control services contract extends the Group's pest control services to four districts in Hong Kong,which have a total population over 1.2 million. These contracts not only provide solid business growth for the Group's core business over the next three years,but they also further strengthen Baguio's leading position in Hong Kong.

With the HKSAR government's high emphasis on environmental hygiene,a three-month citywide clean-up campaign was launched in August 2022 with a District Matters Co-ordination Task Force set up to address and tackle district-based issues such as hygiene blackspots,street obstruction blackspots,environmental problems and cityscape improvement. As one of Hong Kong's largest integrated environmental services groups,Baguio has the capacity to provide the highest environmental hygiene standards for the HKSAR Government to create a clean and sustainable environment.

Ms. Ng Yuk Kwan Phyllis,CEO of Baguio,said,"Baguio is honoured to be awarded the new FEHD service contracts for street cleansing and pest control services. These contracts reflect the Government's recognition of the Group's high professional service standards. They also provide a solid foundation for the Group's business growth over the next three years. Under these new contracts,Baguio will utilise innovative smart technologies,including high-tech disinfection and pest control facilities as well as automated intelligent cleaning technologies. Looking ahead,the Group is proud to contribute to improving environmental hygiene in Hong Kong and making Hong Kong a leaner,greener and more sustainable city."

About Baguio Green Group

Established in 1980,Baguio Green Group (Stock code: 01397.HK) is one of Hong Kong's largest and most respected integrated environmental services groups. It provides a full spectrum of professional services including professional cleaning,waste collection & recycling,waste management,green technology,organic fertilizer and animal feed production,horticulture & landscaping,and pest control. It serves a wide range of customers in various sectors including Government departments,statutory organizations and multinational corporations. Fully committed to ESG,the Group works relentlessly to advance sustainable development and create a cleaner,greener,healthier city.