China Saite : INSIDE INFORMATION

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.

CHINA SAITE GROUP COMPANY LIMITED

中 國 賽 特 集 團 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 153)

INSIDE INFORMATION

This announcement is made by China Saite Group Company Limited (the ''Company'', together with its subsidiaries, the ''Group'') pursuant to Rule 13.09(2) and Rule 13.19 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the ''Listing Rules''), and the Inside Information Provisions (as defined in the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

Reference is made to the announcements of the Company on 14 July 2019 (the ''First Announcement'') and 31 July 2019. Unless otherwise defined, the capitalized terms used herein shall have the same meaning as defined in the First Announcement.

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Winding Up Petitions

The Company wishes to provide certain updates relating to the following winding up petitions filed against the Company at the Court of First Instance of High Court of Hong Kong:

Case Number	Status of repayment	Status of the relevant winding
		up petition
HCCW244 of 2019	Fully repaid	The Company entered into a
		settlement agreement on	30
		August 2019 and the Consent
		Summons was filed on 5
		September 2019 to apply for
		withdraw of the winding up
		petition.
HCCW232 of 2019	Fully repaid	The Company was notified that
		the relevant petitioner	has
		instructed its legal advisers to
		apply for withdrawal of the
		winding up petition.

HCCW209 of 2019	The Company expects to repay
	the outstanding amount in full
	by the end of September 2019
HCCW128 of 2019	Fully repaid
HCCW107 of 2019	Fully repaid

The petitioner will apply for withdrawal of the winding up petition upon full repayment.

The winding up petition was withdrawn on 16 May 2019.

The winding up petition was withdrawn on 24 June 2019.

Save for the winding up petitions as specified above, the Company received a winding up petition (Case Number 274 of 2019) filed by Future Land Resources Investment Limited (''Future Land''). The Company has by instalments fully repaid the principal amount of US$32,000,000 and the interest and default interest accrued to Future Land in accordance with the terms and conditions of the senior guaranteed notes (the ''Notes''). Despite the above repayment by the Company, Future Land filed a winding up petition for an additional sum and expenses in an aggregate amount of approximately US$1,442,000. The Company is obtaining legal advice in relating to this winding up petition filed by Future Land. The Company believes that claims of the additional amount are unfound and without merit and the Company will vigorously defend the Future Land's claims for such additional amounts.

As of the date of this announcement and save as disclosed in this announcement, to the best knowledge and belief of the Company, there is no other outstanding winding-up petition filed against the Company.

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Legal Proceedings

As of the date of this announcement, the Company has been involved in four other legal proceedings (''Civil Claims'') filed by other creditors in relating to the indebtedness arising from the offshore corporate bonds in an aggregate amount of HK$34,480,000. As of the date of this announcement, the Company repaid to the relevant creditors HK$13,000,000 in respect of the Civil Claims.

The Company has been liaising with each of the relevant creditors with a view to reaching consensus on a repayment schedule to resolve the Civil Claims. The Company failed to repay the overdue indebtedness in accordance with the initial repayment schedule as additional time was required to apply for the necessary approval from State Administration of Foreign Exchange (''SAFE'') for repayment of the bonds in Hong Kong. The Company has applied to the local SAFE authority to arrange for cross-border transmission of sufficient fund to Hong Kong for settlement of the outstanding amounts arising from the aforementioned Civil Claims.

The Company will keep its shareholders informed of any significant developments and other matters by way of further announcement(s) as and when appropriate.

Shareholders and potential investors should exercise caution when dealing in the securities of the Company.

By Order of the Board

China Saite Group Company Limited

Jiang Jianqiang

Chairman

Hong Kong, 22 September 2019

Unless otherwise specified in this announcement, translations of US$ into HK$ are made in this announcement, for illustration only, at the rate of US$1.00 to HK$7.8393. No representation is made that any amounts in US$ or HK$ could have been or could be converted at that rate or at any other rate or at all.

As at the date of this announcement, the executive Directors of the Company are Mr. JIANG Jianqiang, Mr. SHAO Xiaoqiang, Mr. XU Fanghua, Mr. LIU Zhibo and Mr. HUA Gang; and the independent non-executive Directors are Mr. XU Jiaming, Mr. WU Zhongxian and Mr. YAN Hualin.

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