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 31 March 2021, after deducting the impairment provision of risky projects, the Group has a portfolio of RMB 930 million fixed income investments in aggregate. These projects, excluding risky investment, will secure a total contractually guaranteed annual return before tax of approximately RMB100 million, representing a corresponding average annualized pre-tax return on investment of about 10.3%.

Compared with the investment portfolio on 31 December 2020, in the first quarter, the Group withdrew from Jiangsu Tongtai Intelligent Manufacturing Industrial Park Project (江蘇同泰智能製造產業園區項目)，with the principal of USD 30 million and related investment gains RMB 95.786 million received, and the Changchun New Town Automoblie Industry Construct Co., Ltd. (長春新城項目) with the principal of RMB 105 million 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, 8 April 2021

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.