Jerash Holdings (US), Inc.

Jerash Garments and Kawkab own three industrial buildings of approximately 136,000, 79,000 and 76,000 square feet, respectively, a dormitory building with a kitchen area of approximately 195,000 square feet, and one piece of land of approximately 133,000 square feet in Al Tajamouat Industrial City. We lease additional space totaling approximately 536,000 square feet in three industrial buildings in Al Tajamouat Industrial City. In addition, we lease space for our workers in dormitories located inside and outside of Al Tajamouat Industrial City.

Treasure Success owns an office space in Hong Kong through acquisition of Ever Winland on August 29, 2022. See “—Item 1. Business—Organizational Structure.”

In 2018, we commenced a project to build a 54,000 square-foot factory in Al-Hasa County in the Tafilah Governorate of Jordan, which started operation in November 2019. This project is a joint project with the Jordanian Ministry of Labor and the Employment and Training Department in Jordan. The Ministry of Labor financed the building of the factory and the Employment and Training Department supported 50% of the workers’ salaries, as well as transportation and social security costs in the first 12 months following the completion of the project. We used the factory without paying rent through December 2022. We have continued to use the factory without paying rent since January 2023 as new arrangements with the Jordanian Ministry of Labor are still being made.

In April 2021, we commenced construction on a 195,000-square-foot housing facility for our multi-national workforce, situated on a 49,000-square-foot site owned by us, located in Al Tajamouat Industrial City. In fiscal 2025, the construction completed and our workers have moved in. To meet increasing demand, we are also finalizing plans to construct an additional project on a nearby 133,000-square-foot parcel that we purchased in 2019 for $1.2 million, with 2/3 of the land expected to be allocated for the establishment of our seventh factory and 1/3 for housing purposes. As of the date of this annual report, we are working with engineering consultants to proceed with the architectural design of these buildings. However, the execution of this construction plan will depend on the progress of the Company’s business development and an ongoing assessment of customer order condition.

On January 1, 2021, Jiangmen Treasure Success entered into a factory lease agreement with an independent third party for a term of five years. Upon expiration of the lease, Jiangmen Treasure Success entered into a new factory lease agreement for the same property with the same independent third party on January 1, 2026. The lease has a five-year term with monthly rent amount of CNY66,353 (approximately $9,600) for the first year, and 3% further annual increments starting from the second year.

On June 24, 2021, we entered into an agreement through Jerash Garments to acquire all of the stock of MK Garments in order to operate our manufacturing facility in Al Tajamouat Industrial City located in Amman, Jordan.

On July 14, 2021, Jerash Garments and the sole shareholder of Kawkab Venus entered into an agreement, pursuant to which Jerash Garments acquired all of the outstanding stock of Kawkab Venus. Apart from the land and factory premises, Kawkab Venus had no other significant assets or liabilities and no operation activities or employees at the time of acquisition, so the acquisition was accounted for an asset acquisition. As of August 21, 2022, Kawkab Venus became a subsidiary of Jerash Garments.

On February 2, 2026, Jerash Garments received the approval from the Housing Bank of the Property Purchase Request submitted on January 20, 2026 for the purchase of Property No. 1326, from the lands of South Amman, Jordan. The purchase was completed on February 19, 2026. Property No. 1326 will be our sixth factory in Al Tajamouat Industrial City and production will be commenced in fiscal 2027.

We believe the real estate property that we own and lease is sufficient to conduct our operations as they are currently conducted.