China Yongda Automobile Services Hldg : ANNOUNCEMENT IN RELATION TO DESPATCH OF CIRCULAR RELATING TO (1) VERY SUBSTANTIAL DISPOSAL AND VERY SUBSTANTIAL ACQUISITION IN RELATION TO THE PROPOSED DISPOSAL OF 100% EQUITY INTERESTS IN SHANGHAI YONGDA AUTOMOBILE GROUP CO., LTD. AND THE PROPOSED S

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China Yongda Automobiles Services Holdings Limited

（中國永達汽車服務控股有限公司）

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 03669) ANNOUNCEMENT IN RELATION TO DESPATCH OF CIRCULAR RELATING TO

1. VERY SUBSTANTIAL DISPOSAL AND VERY SUBSTANTIAL ACQUISITION IN RELATION TO THE PROPOSED DISPOSAL OF 100% EQUITY INTERESTS IN SHANGHAI YONGDA AUTOMOBILE GROUP CO., LTD. AND THE PROPOSED SUBSCRIPTION OF SHARES IN SUZHOU YANGTZE NEW MATERIALS CO., LTD.
2. PROPOSED SPIN-OFF OF SHANGHAI YONGDA AUTOMOBILE GROUP CO., LTD.

AND NOTICE OF EGM

Reference is made to the (i) announcement of China Yongda Automobiles Services Holdings

Limited (the "Company") dated April 15, 2016 in relation to (a) the very substantial disposal and very substantial acquisition in relation to the proposed disposal of 100% equity interests in Shanghai Yongda Automobile Group Co., Ltd. and the proposed subscription of shares in Suzhou Yangtze New Materials Co., Ltd. and (b) the proposed spin-off of Shanghai Yongda Automobile Group Co., Ltd.; (ii) delay in despatch of circular announcement dated May 8, 2016; and (iii) inside information announcement in relation to the PN15 Confirmation and granting of the waivers dated May 26, 2016 (together with (i) and (ii), the "Announcements"). Unless otherwise stated, capitalised terms used herein shall have the same meanings as those defined in the Announcements.

As stated in the announcement dated May 8, 2016, the Circular to the be despatched by the Company to the Shareholders in relation to, among others, the Proposed Spin-off and the transactions contemplated thereunder is expected to be despatched on or before May 30, 2016.

As additional time is required to draft and print the Circular, it is expected that the Circular will be despatched to the Shareholders on or before June 3, 2016.

By Order of the Board

China Yongda Automobiles Services Holdings Limited Cheung Tak On

Chairman

The PRC, May 30, 2016

As at the date of this announcement, the Board comprises (i) five executive directors, namely Mr. Cheung Tak On, Mr. Cai Yingjie, Mr. Wang Zhigao, Mr. Xu Yue and Ms. Chen Yi; (ii) one non-executive director, namely Mr. Wang Liqun; and (iii) three independent non-executive directors, namely Mr. Lyu Wei, Mr. Chen Xianglin and Ms. Zhu Anna Dezhen.