China New Town Development : VOLUNTARY ANNOUNCEMENT Update on Urbanization Fixed Income Investment Portfolio

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China New Town Development Company Limited

中國新城鎮發展有限公司

(Incorporated as a business company limited by shares under the laws of the British Virgin Islands)

Hong Kong Stock Code: 1278

VOLUNTARY ANNOUNCEMENT

Update on Urbanization Fixed Income Investment Portfolio

The Board of Directors (the "Board") of China New Town Development Company Limited (the "Company", collectively with its subsidiaries, the "Group") is pleased to announce that, as at 30 June 2019, the Group has a portfolio(no provision for impairment is considered ) of RMB2.64 billion fixed income investments in aggregate, securing a total contractually guaranteed annual return before tax on investment of approximately RMB270million, representing an average annualized pre-tax return on investment of about 10.3%. Compared with the voluntary announcement published on 31 March 2019, the Group did not add investment projects in the second quarter, withdrew from Yangzhou Xincheng River Hanjiang section Comprehensive Improvement Project (揚州市新城河邗江段支流綜合整治項目) with the principal of RMB 200 million and related investment gains received; partially withdrew from Yangzhou Airport New Town project (揚州空港新城項目) with the principal of RMB 12.5 million and related investment gains received; partially withdrew from Jiangsu Taizhou New Energy Industrial Park Phase III Project (江蘇泰州市新能源 產業園三期項目) with the principal of USD 30 million and related investment gains received.

In the future, the Company shall continue to quarterly update shareholders of the developments in the urbanization fixed-income investment business in the form of voluntary announcements.

By Order of the Board

China New Town Development Company Limited

Liu Heqiang

Chief Executive Officer

Hong Kong, 2 July 2019

As at the date of this announcement, the executive directors of the Company are Mr. Liu Heqiang (Chief Executive Officer), Ms. Yang Meiyu, Mr. Ren Xiaowei and Mr. Shi Janson Bing; the non-executive directors of the Company are Mr. Zuo Kun (Chairman), Mr. Li Yao Min (Vice Chairman) , Mr.Wei Dongzheng and Mr.Wang Jiangang; and the independent non-executive directors of the Company are Mr. Henry Tan Song Kok, Mr. Kong Siu Chee, Mr. Zhang Hao and Mr. E Hock Yap.