China Wah Yan Healthcare : ANNOUNCEMENT

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

(Incorporated in Hong Kong with limited liability)

(Stock Code: 648)

ANNOUNCEMENT

China Wah Yan Healthcare Limited (the "Company") announces that on 5 February 2020, a writ of summons endorsed with a statement of claim was issued in the Court of First Instance of the High Court of Hong Kong on 24 January 2020 by First Credit Limited ("First Credit") as the plaintiff against the Company as the defendant.

First Credit claims (the "Claim") against the Company for, among other things, the outstanding balance of HK$68,924,116, being the outstanding principal amount and the accrued interest up to 24 January 2020 thereon under a loan agreement entered into between First Credit and the Company on 17 April 2019.

The Company is in the course of considering the Claim and seeking legal advice in relation to the Claim. The Company will make further announcement(s) on any material developments in respect of the Claim as and when appropriate. Shareholders of the Company and potential investors should accordingly exercise caution when dealing in the securities of the Company.

GENERAL

Trading in the shares of the Company will continue to be suspended as at the date of this announcement.

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Shareholders of the Company and potential investors should exercise caution when dealing in the securities of the Company.

For and on behalf of the Board

China Wah Yan Healthcare Limited

Lam Sung Him Gaston

Company Secretary

Hong Kong, 6 February 2020

As at the date of this announcement, the board of directors of the Company comprises three executive directors, namely Mr. Chan Ka Chung, Mr. Cheung Wai Kwan and Mr. Wang Jianguo; and four independent non-executive directors, namely, Mr. Chan Yee Ping, Michael, Ms. Hu Xuezhen, Mr. Lam Chun Ho and Mr Tsang Hung Kei.

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