Sino Biopharmaceutical : VOLUNTARY ANNOUNCEMENT - "BUDESONIDE SUSPENSION FOR INHALATION" OBTAINS APPROVAL FOR DRUG REGISTRATION

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Website: www.sinobiopharm.com

(Stock code: 1177)

VOLUNTARY ANNOUNCEMENT

"BUDESONIDE SUSPENSION FOR INHALATION" OBTAINS APPROVAL FOR

DRUG REGISTRATION

The board of directors (the "Board") of Sino Biopharmaceutical Limited (the "Company", together with its subsidiaries, the "Group") announces that "Budesonide Suspension for Inhalation" (brand name: Tianqingsuchang (天晴速暢)), a drug used for the treatment of bronchial asthma and developed by Chia- Tai Tianqing Pharmaceutical Group Co., Ltd, a subsidiary of the Company, has obtained approval for drug registration granted by the National Medical Products Administration of the People's Republic of China. The product is the first generic drug of its kind that is approved in China and is deemed to have passed the Consistency of Quality and Efficacy Evaluation for Generic Drugs. The approval for launch of this major product is of great importance, which will completely break the long-standing monopoly on Budesonide Suspension for Inhalation by international pharmaceutical mogul in the domestic market, and bring high-end products with effectiveness, safety and economy to patients with chronic respiratory tract inflammation in China.

Budesonide Suspension for Inhalation is an inhaled glucocorticoid with strong focal anti-inflammatory effect. It is given through a nebulizer, and clinically used for the treatment of bronchial asthma and for replacing or reducing oral steroid treatment. Compared with the ordinary oral preparations and injections, inhaled drugs have the advantages of good efficacy and high safety in the treatment of respiratory diseases. In addition, nebulized inhalation preparation does not require propellants and will not pollute the environment, thereby having environmental protection significance.

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Despite the huge domestic market demand for asthma and chronic respiratory diseases medicines, there are extremely high technical barriers in the research and development, production and clinical trial of inhalation drugs, making it difficult to produce such generic drugs, and few domestic pharmaceutical companies are involved in the production. The successful approval for launch of Tianqingsuchang not only marks another breakthrough in the Group's drug development and production skills, but also will help the Group to grasp the dividend of the rapidly growing domestic respiratory diseases market and to consolidate its leading position in the field of respiratory medicines.

By order of the Board

Sino Biopharmaceutical Limited

Tse, Theresa Y Y

Chairwoman

Hong Kong, 27 February 2020

As at the date of this announcement, the Board comprises eight Executive Directors, namely Ms. Tse, Theresa Y Y, Mr. Tse Ping, Ms. Cheng Cheung Ling, Mr. Tse, Eric S Y, Mr. Tse Hsin, Mr. Wang Shanchun, Mr. Tian Zhoushan and Ms. Li Mingqin and four Independent Non-Executive Directors, namely Mr. Lu Zhengfei, Mr. Li Dakui, Ms. Lu Hong and Mr. Zhang Lu Fu.

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