Lee Pharmaceutical : Update on The Proposed Spin-off and Separate Listing of Zhaoke Ophthalmology Limited on The Main Board of The Stock Exchange - Record Date, Closure of Register of Members and Basis of The Assured Entitlement of Qualifying Shareholders in The Preferential Offering

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Lee's Pharmaceutical Holdings Limited ҽˤɽᖹᅀછٰϞࠢʮ̡*

(incorporated in the Cayman Islands with limited liability)

(Stock Code: 950)

UPDATE ON THE PROPOSED SPIN-OFF AND SEPARATE LISTING OF

ZHAOKE OPHTHALMOLOGY LIMITED

ON THE MAIN BOARD OF THE STOCK EXCHANGE

RECORD DATE, CLOSURE OF REGISTER OF MEMBERS AND BASIS OF THE ASSURED ENTITLEMENT OF QUALIFYING

SHAREHOLDERS IN THE PREFERENTIAL OFFERING

*For identification purposes only

The Board is pleased to announce that the Record Date for the purpose of determining the Assured Entitlement of Qualifying Shareholders to the Reserved Shares will be Friday, 9 April 2021. The register of members of the Company will be closed on Friday, 9 April 2021 and no transfers of Shares will be registered on that date. The last day for dealing in the Shares cum-entitlement to the Assured Entitlement will be Thursday, 1 April 2021.

As the final dates of registration and issue of the Prospectus have not yet been determined, the Record Date and the closure of the register of members of the Company for the purpose of determining the Assured Entitlement of Qualifying Shareholders set out in this announcement are subject to change depending on the final timetable of the Proposed Spin-off and Proposed Listing.

The Board also announce that the basis of the Assured Entitlement of Qualifying Shareholders to the Reserved Shares has been determined, if and when made. The basis of Assured Entitlement is one (1) Reserved Share for every 115 Shares held by Qualifying Shareholders on Friday, 9 April 2021, being the Record Date.

Shareholders and potential investors should note that there is no assurance that the approval of the Listing Committee of the Stock Exchange for the Proposed Listing will be granted.

The Proposed Listing and the final structure of the Proposed Spin-off are subject to, among other things, the approval of the Stock Exchange, the final decisions of the board of directors of Zhaoke Ophthalmology, market conditions and other considerations. Accordingly, Shareholders and potential investors should be aware that there is no assurance that the Proposed Spin-off and the Proposed Listing will take place and, if so, when they may take place. Shareholders and potential investors should exercise caution when dealing in or investing in the securities of the Company.

INTRODUCTION

Reference is made to the announcements of the Company dated 9 July 2020, 3 September 2020, 20 November 2020, 18 December 2020, 29 January 2021, 11 February 2021 and 15 March 2021 and the circular of the Company dated 24 February 2021 (the "Circular") in relation to the Proposed Spin-off. The Proposed Spin-off was approved by the Shareholders at the EGM held on 15 March 2021. Unless otherwise defined, capitalised terms used in this announcement shall have the same meanings as those defined in the Circular.

RECORD DATE AND CLOSURE OF THE REGISTER OF MEMBERS OF THE COMPANY

As set out in the Circular, the Company intend that if the Proposed Spin-off and Proposed Listing proceed, Qualifying Shareholders will be provided with an Assured Entitlement to the Zhaoke Ordinary Shares by way of a preferential application in the Global Offering. For the purpose of determining the Assured Entitlement of Qualifying Shareholders to the Zhaoke Ordinary Shares in the Preferential Offering and pursuant to Rule 13.66 of the Listing Rules, the Board announce that the Record Date will be Friday, 9 April 2021. The register of members of the Company will be closed on Friday, 9 April 2021 and no transfers of Shares will be registered on that date.

In order to qualify for the Assured Entitlement, all transfers of the Shares accompanied by the relevant share certificates must be lodged with the share registrar of the Company in Hong Kong, Computershare Hong Kong Investor Services Limited at Shops 1712-1716, 17th Floor, Hopewell Centre, 183 Queen's Road East, Wanchai, Hong Kong not later than 4:30 p.m. on Thursday, 8 April 2021. The last day for dealing in the Shares cum-entitlement to the Assured Entitlement will be Thursday, 1 April 2021.

As the final dates of registration and issue of the Prospectus have not yet been determined, the Record Date and the closure of the registers of members of the Company for the purpose of determining the Assured Entitlement of Qualifying Shareholders set out in this announcement are subject to change depending on the final timetable of the Proposed Spin-off and Proposed Listing.

In the event that there is a change in the Record Date and the closure of the registers of members of the Company for determining the Assured Entitlement of Qualifying Shareholders, a further announcement will be made by the Company and such revised record date and closure of the register of members of the Company will supersede and replace the Record Date and the closure of the register of members of the Company for determining the Assured Entitlement of Qualifying Shareholders set out in this announcement.

BASIS OF THE ASSURED ENTITLEMENT OF QUALIFYING SHAREHOLDERS IN THE PREFERENTIAL OFFERING

The Board also announce that the basis of the Assured Entitlement of Qualifying Shareholders to the Zhaoke Ordinary Shares in the Preferential Offering (the "Reserved Share(s)") has been determined, if and when made.

The basis of Assured Entitlement is one (1) Reserved Share for every 115 Shares held by Qualifying Shareholders on Friday, 9 April 2021, being the Record Date. The Assured Entitlement of Qualifying Shareholders to the Reserved Shares is not transferable and there will be no trading in nil-paid entitlements on the Stock Exchange. Qualifying Shareholders who hold at least 115 Shares on the Record Date and therefore have an Assured Entitlement to the Reserved Shares may apply for a number of the Reserved Shares which is greater than, less than or equal to their Assured Entitlement under the Preferential Offering. A valid application for a number of the Reserved Shares which is less than or equal to the Assured Entitlement of a Qualifying Shareholder under the Preferential Offering will be accepted in full, subject to the terms and conditions of the Preferential Offering. Qualifying Shareholders who hold less than 115 Shares on the Record Date and therefore will not have an Assured Entitlement to the Reserved Shares will still be entitled to participate in the Preferential Offering by applying for excess Reserved Shares only.

Applications for excess Reserved Shares will only be satisfied to the extent that Reserved Shares made available to and not taken up by Qualifying Shareholders as their Assured Entitlement under the Preferential Offering are sufficient to satisfy such excess applications. Qualifying Shareholders should note that their Assured Entitlement to the Reserved Shares may not represent a full board lot of the Zhaoke Ordinary Shares. No odd lot matching services will be provided and dealings in odd lots of the Zhaoke Ordinary Shares may be at a price below the prevailing market price for full board lots. If the Preferential Offering proceeds, details of the Preferential Offering, including the terms and conditions for applications (including excess applications) for the Reserved Shares under the Preferential Offering, will be set out in the Prospectus and the accompanying blue application form for Qualifying Shareholders.

As the size, structure and the expected timetable of the Global Offering have not yet been finalized, the basis of the Assured Entitlement of Qualifying Shareholders to the Reserved Shares in the Preferential Offering as set out in this announcement is subject to change. In the event that there is a change in relation to the basis of the Assured Entitlement of Qualifying Shareholders to the Reserved Shares in the Preferential Offering, further announcement(s) will be made by the Company.

GENERAL

In connection with the Global Offering, the price of the Zhaoke Ordinary Shares may be stabilized in accordance with the Securities and Futures (Price Stabilizing) Rules (Chapter 571W of the Laws of Hong Kong). Details of any intended stabilization and how it will be regulated under the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) will be contained in the Prospectus.

Further announcement(s) will be made by the Company in respect of the Proposed Spin-off and Proposed Listing as and when appropriate.

Shareholders and potential investors should note that there is no assurance that the approval of the Listing Committee of the Stock Exchange for the Proposed Listing will be granted.

The Proposed Listing and the final structure of the Proposed Spin-off are subject to, among other things, the approval of the Stock Exchange, the final decisions of the board of directors of Zhaoke Ophthalmology, market conditions and other considerations. Accordingly, Shareholders and potential investors of the Company should be aware that there is no assurance that the Proposed Spin-off and the Proposed Listing will take place or, if so, when they may take place. Shareholders and potential investors should exercise caution when dealing in or investing in the securities of the Company. Any person who is in doubt about his/her/its position or any action to be taken is recommended to consult his/her/its own professional advisers.

By order of the Board

Lee's Pharmaceutical Holdings Limited

Lee Siu Fong

Chairman

Hong Kong, 23 March 2021

As at the date of this announcement, Ms. Lee Siu Fong (Chairman), Ms. Leelalertsuphakun Wanee and Dr. Li Xiaoyi are executive Directors, Mr. Simon Miles Ball is a non-executive Director, Dr. Chan Yau Ching, Bob, Mr. Lam Yat Cheong and Dr. Tsim Wah Keung, Karl are independent non-executive Directors.