Greenland Hong Kong Announces Placing of New Shares

Raises Capital of Approximately HK$1,700 Million For Developing Property Related Internet Finance Business

HONG KONG, May 18, 2015 /PRNewswire/ -- Greenland Hong Kong Holdings Limited (the "Company" or "Greenland Hong Kong", stock code: 337), the subsidiary of Greenland Holding Group Company Limited, announced on 16 May that the Company entered into a placing agreement to place 228,000,000 shares to no less than six placees at HK$7.46 per placing share. The maximum gross proceeds will be approximately HK$1,700 million. The net proceeds will be utilized for developing the property related internet finance business and for general corporate purposes.

The placing shares represent approximately 8.68% of the issued share capital of the Company. The placing price represents a discount of approximately 5.93% to the closing price of HK$7.93 per share on 14 May 2015 (the last trading day prior to its announcement), and a discount of approximately 3.49% to the average closing price of HK$7.73 per share for the last five consecutive trading days up to and including 14 May 2015.

Mr. Chen Jun, Chairman of the board of Directors and Chief Executive Officer of Greenland Hong Kong, said, "The placing price represents a discount of approximately 5.9% to the closing price on the last trading day prior to the announcement, and the smallest discount compared with the recent placings of new shares by the peers. This has fully demonstrated that we have gained support and recognition from the investors to Greenland Financial Services, our upcoming property related internet finance business, and our development strategies.

We have introduced strategic investors, such as China Cinda Asset Management Co., Ltd. ("China Cinda"). It is expected that Greenland Financial Services will further discuss the details of business cooperation with China Cinda and other insurance institutions. The placing will not only enhance our financial position, but also better prepare the Company for developing the property related internet finance business and for the potential acquisition of properties. The placing is in the long-term interests of the Company and our shareholders."

Greenland Hong Kong Holdings Limited

Greenland Hong Kong Holdings Limited ("Greenland Hong Kong") (SEHK: 337), is the subsidiary of Greenland Group. Founded on July 18th 1992, Greenland Group has stuck to the enterprise tenet of "Greenland, create better life" in the past more than twenty years and followed what the government advocates and what the market calls for, forming the current industrial distribution which features "highlight on the real estate, integrated development of relevant industries including business, finance and metro" through a two-pronged development method of industrial management and capital management and ranking the 268th place in 2014 Fortune Global 500, moving it up 91 places in the previous ranking, and was the first amongst integrated real estate enterprises.

In terms of capital operation, Greenland Group acquires "Greenland Hong Kong Holdings (337.HK)" the listed company in Hong Kong Stock Exchange, and fulfils its strategic layout of integration of the global resources. It accelerates the overall pace of going public, propelling the marketization and internationalization of itself.

Greenland Hong Kong will provide Greenland Group with an international capital operation channel and brand display window, a new growth driver for Greenland Group to achieve higher goals, a bridge to link up domestic and overseas resources and a powerful support to the sustainable development of Greenland Group. Greenland Hong Kong will serve as a financing vehicle for Greenland Group's quality projects to access capital from international markets. It will also realize business and capital growth by ways of acquisition and debt issuance. Relying on Greenland Group`s rich resources, large scale, mature brand, advanced management and passionate corporate culture, Greenland Hong Kong will comprehensively integrate existing assets and personnel of the listed company and fully utilize the advantages of Hong Kong capital platform, leading the company to enter a new era of development by leaps and bounds.

Issued by Porda Havas International Finance Communications Group for and on behalf of Greenland Hong Kong Holdings Limited

Source: Greenland Hong Kong Holdings Limited
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