China Silver Group Limited — Capital/Financing Update 2017

Apr 11, 2017

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

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CHINA SILVER GROUP LIMITED 中國白銀集團有限公司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 815)

ISSUE OF CONSIDERATION SHARES UNDER GENERAL MANDATE

References are made to the announcements issued by China Silver Group Limited (the “ Company ”) dated 11 December 2015, 25 January 2016 and 1 February 2016 (the “ Announcements ”) in respect of the effective acquisition of the remaining 75% equity interest in Shanghai Huatong through a series of arrangements. Unless otherwise defined, capitalised terms used in this announcement shall have the same meaning as those defined in the Announcements.

The board of directors (“ Board ”) of the Company would like to announce that the 2016 After-Tax Profit of the Enlarged Target Group (i.e., the Target Group and Shanghai Huatong) exceeded RMB80 million. Therefore, pursuant to the Sale and Purchase Agreement, the final Consideration to be paid to the Vendor by the Company shall be adjusted to RMB625 million. Part of the Consideration in the sum of RMB350 million was paid (i) in cash and (ii) by way of issue and allotment of 62.5 million Consideration Shares by the Company to the Vendor on the Completion Date. The remaining balance of the Consideration in the sum of RMB275 million was paid on 11 April 2017 by the Company by way of issue and allotment of 137.5 million Consideration Shares (Incentive Shares) to the Vendor or its designated person(s) in accordance with the Sale and Purchase Agreement.

The aggregate of 137.5 million Consideration Shares represent (i) approximately 9.31% of the total issued share capital of the Company as at the date of this announcement; and (ii) approximately 8.52% of the total issued share capital of the Company as enlarged by the issue and allotment of the Consideration Shares.

By order of the Board China Silver Group Limited Chen Wantian Chairman

11 April 2017, Hong Kong

As at the date of this announcement, the executive directors are Mr. Chen Wantian, Mr. Sung Kin Man, Mr. Song Guosheng, and Mr. Chen Guoyu; and the independent non-executive directors are Mr. Guo Bin, Mr. Song Hongbing, Dr. Li Haitao and Dr. Zeng Yilong.