General Announcement::Adjustment of Interest Rate in respect of the Second Tranche Corporate Bonds on the SSE

CHINA EVERBRIGHT WATER LIMITED

(Incorporated in Bermuda with limited liability)

(Company Reg. No: 34074)

ADJUSTMENT OF INTEREST RATE IN RESPECT OF THE SECOND TRANCHE CORPORATE BONDS ON THE SHANGHAI STOCK EXCHANGE

1. INTRODUCTION
   The board of directors (the "Board") of China Everbright Water Limited (the "Company") refers to (i) the issuance by the Company to qualified investors in mainland China of the second-tranche of RMB-denominated corporate bonds ("Corporate Bonds") with an aggregate principal amount of RMB800,000,000 (the "Second Tranche Corporate Bonds"), which comprises Type 1 Second Tranche Corporate Bonds with an aggregate principal amount of RMB400,000,000 ("Type 1 Bonds") and Type 2 Second Tranche Corporate Bonds with an aggregate principal amount of RMB400,000,000 ("Type 2 Bonds") on 16 August 2018; and (ii) the listing of the Second Tranche Corporate Bonds for trading on the Shanghai Stock Exchange (the "SSE") with effect from 3 September 2018.
2. ADJUSTMENT OF INTEREST RATE
   As announced in the announcement in respect of the Second Tranche Corporate Bonds dated 16 August 2018, the Company is entitled to, prior to the expiration of three years from the date of issuance of the Second Tranche Corporate Bonds (being 16 August 2018) and at its discretion, adjust the interest rate in respect of the Second Tranche Corporate Bonds for the remaining two years.
   In view of the existing market conditions, the Company has decided to adjust the interest rate in respect of (i) the Type 1 Bonds from 4.60 per cent. per annum to 3.20 per cent. per annum for the period from 16 August 2021 to 15 August 2023 (both dates inclusive) (the "Remaining Term") and (ii) the Type 2 Bonds from 4.58 per cent. per annum to 3.20 per cent. per annum for the Remaining Term. The interest shall be payable by way of simple interest on an annual basis. The interest on the Second Tranche Corporate Bonds for the Remaining Term will be paid by the Company on 16 August 2022 and 16 August 2023 (or if any such date falls on a statutory holiday in mainland China, the following trading day).

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3. FURTHER INFORMATION

Further details in respect of the Second Tranche Corporate Bonds (including the Company's announcement on the adjustment of interest rate) are available on the website of the SSE at www.sse.com.cn.

Shareholders and potential investors of the Company are advised to exercise caution when dealing in the securities of the Company.

IMPORTANT NOTICE

This announcement is for information purposes only and does not constitute or form a part of any offer, solicitation or invitation to sell, issue, purchase or subscribe for securities in any jurisdiction. No securities of or relating to the Company have been or will be registered under the securities laws of any jurisdiction. No public offering of securities will be made in any jurisdiction where such an offering is restricted or prohibited. No money, securities or other consideration is being solicited by this announcement or the information contained herein and, if sent in response to this announcement or the information contained herein, will not be accepted.

By Order of the Board

CHINA EVERBRIGHT WATER LIMITED

An Xuesong

Executive Director and Chief Executive Officer

Date: 20 July 2021

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