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3SBio Inc. Capital/Financing Update 2008

Jul 2, 2008

49981_rns_2008-07-02_c67d387e-1994-4b2f-9db4-b24fdfd6eb37.pdf

Capital/Financing Update

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The Stock Exchange of Hong Kong Limited takes no responsibility for the contents of this announcement, makes no representation as to its accuracy or completeness and expressly disclaims any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

This announcement appears for information purposes only and does not constitute an invitation or offer to acquire, purchase, or subscribe for securities of the Company.

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HONGKONG CHINESE LIMITED 香 港 華 人 有 限 公 司 * (Incorporated in Bermuda with limited liability)

(Stock Code: 655)

RIGHTS ISSUE OF 471,390,178 RIGHTS SHARES AT HK$1.00 EACH IN THE PROPORTION OF SEVEN RIGHTS SHARES FOR EVERY TWENTY SHARES HELD WITH BONUS WARRANTS ON THE BASIS OF THREE WARRANTS FOR EVERY SEVEN RIGHTS SHARES TO THE QUALIFYING SHAREHOLDERS ONLY

RESULT OF THE RIGHTS ISSUE

Financial adviser to Hongkong Chinese Limited and lead manager to the Rights Issue

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Underwriters to the Rights Issue

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Lippo Securities Limited

The Board is pleased to announce that as at 4:00 p.m. on Monday, 23rd June, 2008, being the latest time for acceptance of and payment for the Rights Shares and for application and payment for excess Rights Shares, 657 valid acceptances of provisional allotment of Rights Shares have been received for a total of 425,897,939 Rights Shares and 514 valid applications for excess Rights Shares have been received for a total of 226,463,505 excess Rights Shares, resulting in a total of valid applications for 652,361,444 Rights Shares.

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Accordingly, the Rights Issue was over-subscribed by 180,971,266 Rights Shares or approximately 38.4%, based on the total number of 471,390,178 Rights Shares being offered under the Rights Issue. The total number of 226,463,505 excess Rights Shares being validly applied for by the Qualifying Shareholders represented approximately 5.0 times of the 45,492,239 Rights Shares available for excess application.

Share certificates of the fully-paid Rights Shares and warrant certificates for the Bonus Warrants have been despatched by ordinary post to the relevant successful applicants today (i.e. 2nd July, 2008) at their own risk. Refund cheques in respect of partially unsuccessful applications for excess Rights Shares have also been despatched by ordinary post to the relevant unsuccessful applicants today (i.e. 2nd July, 2008) at their own risk.

Dealings in the fully-paid Rights Shares and the Bonus Warrants on the Stock Exchange will commence on Friday, 4th July, 2008.

The Company has appointed Lippo Securities to act as the broker to match, on a “best effort” basis, the sale and purchase of odd lots of the Bonus Warrants arising from the Rights Issue from Friday, 4th July, 2008, being the expected commencement date of dealings in the Bonus Warrants, up to and including Monday, 4th August, 2008. Shareholders should note that matching of the sale and purchase of odd lots of the Bonus Warrants is not guaranteed.

Reference is made to the Prospectus dated 6th June, 2008 issued by the Company in relation to the Rights Issue. Unless otherwise defined, terms used in this announcement shall have the same meanings as those defined in the Prospectus.

RESULTS OF THE RIGHTS ISSUE

The Board is pleased to announce that as at 4:00 p.m. on Monday, 23rd June, 2008, being the latest time for acceptance of and payment for the Rights Shares and for application and payment for excess Rights Shares, 657 valid acceptances of provisional allotment of Rights Shares have been received for a total of 425,897,939 Rights Shares and 514 valid applications for excess Rights Shares have been received for a total of 226,463,505 excess Rights Shares, resulting in a total of valid applications for 652,361,444 Rights Shares.

Accordingly, the Rights Issue was over-subscribed by 180,971,266 Rights Shares or approximately 38.4%, based on the total number of 471,390,178 Rights Shares being offered under the Rights Issue. The total number of 226,463,505 excess Rights Shares being validly applied for by the Qualifying Shareholders represented approximately 5.0 times of the 45,492,239 Rights Shares available for excess application.

EXCESS APPLICATION

226,463,505 excess Rights Shares were validly applied for by way of excess application (represented approximately 5.0 times of 45,492,239 Rights Shares available for the excess application). Given the over-subscription, the Directors have

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resolved to allot 45,492,239 excess Rights Shares available for excess application to the Qualifying Shareholders in the following manner:

Number of
excess
Rights
Shares
applied for
Number of
valid excess
applications
1 to 2,000
248
2,001 to
15,999
165
16,000 to
25,999
24
26,000 to
219,999
52
220,000 to
699,999
10
700,000 to
4,999,999
11
5,000,000 to
49,999,999
3
Over
49,999,999
1
Total
514
Total
number of
excess
Rights
Shares
applied for
Basis of Allotment
301,884
In full
947,439
Odd lot excess Rights Shares applied for in
full plus 40.00% of the remaining excess
Rights Shares applied for (rounded up to the
nearest board lot)
489,509
Odd lot excess Rights Shares applied for in
full plus 35.00% of the remaining excess
Rights Shares applied for (rounded up to the
nearest board lot)
4,365,379
Odd lot excess Rights Shares applied for in
full plus 30.00% of the remaining excess
Rights Shares applied for (rounded up to the
nearest board lot)
4,422,534
Odd lot excess Rights Shares applied for in
full plus 25.00% of the remaining excess
Rights Shares applied for (rounded up to the
nearest board lot)
19,098,599
Odd lot excess Rights Shares applied for in
full plus 20.00% of the remaining excess
Rights Shares applied for (rounded up to the
nearest board lot)
120,000,000
Odd lot excess Rights Shares applied for in
full plus 19.50% of the remaining excess
Rights Shares applied for (rounded up to the
nearest board lot)
76,838,161
Approximately 19.01% of the excess Rights
Shares applied for
226,463,505
Total
number of
Rights
Shares
allotted
Approximate
percentage of
allocation based
on the total
number of
excess Rights
Shares applied
for in this
category
301,884
100.00%
641,439
67.70%
215,509
44.03%
1,377,379
31.55%
1,122,534
25.38%
3,822,599
20.02%
23,402,000
19.50%
14,608,895
19.01%
45,492,239

As disclosed in the Prospectus, the Directors allocated the excess Rights Shares at their discretion and on a fair and equitable basis and gave preference to topping up odd lots to whole board lots. Further remaining excess Rights Shares were allocated to all applicants based on a sliding scale with reference to the excess Rights Shares applied by them (i.e. Qualifying Shareholders belonging to pre-determined categories consisting of applications for smaller number of Rights Shares were allocated with a higher percentage of successful application but will receive less number of Rights Shares; whereas Qualifying Shareholders belonging to pre-determined categories consisting of applications for larger number of Rights Shares were allocated with a smaller percentage of successful application but will receive higher number of Rights Shares), subject always to the rights of the Directors to reject any applications with an

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intention to abuse the general mechanism of the excess application for the excess Rights Shares.

The Directors consider that the allocation of the excess Rights Shares is on a fair and reasonable basis.

SHAREHOLDING STRUCTURE OF THE COMPANY

The following is a table showing the changes in the shareholding structure of the Company immediately before and upon completion of the Rights Issue, and immediately upon Completion and after exercise of the subscription rights attaching to all the Bonus Warrants:

Hennessy
Directors
Underwriters
Sub-total
Public
Shareholders
Total number of
issued Shares
Immediately before
Completion
Immediately upon
Completion
Immediately upon Completion
and after exercise of the
subscription rights attaching to
all the Bonus Warrants
Shares
Approx.
%
Shares
Approx.
%
Shares
Approx.
%
692,262,956
51.4
941,380,978
51.8
1,048,145,842
51.9
50,400
0.0
68,040
0.0
75,600
0.0
-
0.0
-
0.0
-
0.0
692,313,356
51.4
941,449,018
51.8
1,048,221,442
51.9
654,515,738
48.6
876,770,254
48.2
972,022,192
48.1
1,346,829,094
100.0
1,818,219,272
100.0
2,020,243,634
100.0

DESPATCH OF SHARE CERTIFICATES, WARRANT CERTIFICATES AND REFUND CHEQUES

Share certificates of the fully-paid Rights Shares and warrant certificates for the Bonus Warrants have been despatched by ordinary post to the relevant successful applicants today (i.e. 2nd July, 2008) at their own risk. Refund cheques in respect of partially unsuccessful applications for excess Rights Shares have also been despatched by ordinary post to the relevant unsuccessful applicants today (i.e. 2nd July, 2008) at their own risk.

Dealings in the fully-paid Rights Shares and the Bonus Warrants on the Stock Exchange will commence on Friday, 4th July, 2008.

ODD LOT TRADING FACILITIES FOR THE BONUS WARRANTS

The Company has appointed Lippo Securities to act as the broker to match, on a “best effort” basis, the sale and purchase of odd lots of the Bonus Warrants arising from the Rights Issue from Friday, 4th July, 2008, being the expected commencement date of dealings in Bonus Warrants, up to and including Monday, 4th August, 2008. Shareholders should note that matching of the sale and purchase of odd lots of the Bonus Warrants is not guaranteed.

Shareholders who wish to take advantage of this facility should contact Ms. Rowinna Wu of Lippo Securities at Room 2302, 23rd Floor, Tower One, Lippo Centre, 89

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Queensway, Hong Kong (Tel: (852) 2533 7329) from 9:30 a.m. to 12:45 p.m., and from 2:00 p.m. to 6:00 p.m. during normal business days of the aforesaid period.

By Order of the Board Hongkong Chinese Limited Andrew Hau Secretary

Hong Kong, 2nd July, 2008

As at the date of this announcement, Dr. Mochtar Riady (Chairman) and Mr. Leon Chan Nim Leung are the Non-executive Directors of the Company, Messrs. Stephen Riady (Chief Executive Officer), John Lee Luen Wai and Kor Kee Yee are the Executive Directors of the Company and Messrs. Albert Saychuan Cheok, Victor Yung Ha Kuk and Tsui King Fai are the Independent Non-executive Directors of the Company.

* For identification purpose only

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