Star Properties Cayman Islands : CHANGE OF AUDITOR

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Star Properties Group (Cayman Islands) Limited

星 星 地 產 集 團 (開 曼 群 島) 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 1560)

CHANGE OF AUDITOR

This announcement is made by the board (the "Board") of directors (the "Directors") of Star Properties Group (Cayman Islands) Limited (the "Company", which together with its subsidiaries, the ''Group'') pursuant to Rule 13.51(4) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules").

RESIGNATION OF AUDITOR

The Board of the Company announced that Deloitte Touche Tohmatsu (''Deloitte'') has resigned as the auditor of the Company with effect from 17 August 2020, as the Company could not reach a consensus with Deloitte on the audit fee for the year ending 31 December 2020 (the ''2020 Financial Audit'').

Deloitte confirmed that there are no circumstances in connection with its resignation which should be brought to the attention of the shareholders of the Company. The Board and the audit committee of the Company also confirm that there is no disagreement between Deloitte and the Company (save for the said audit fee), and there is no other matters in respect of the resignation of Deloitte that need to be brought to the attention of the shareholders or creditors of the Company.

The Board confirms that Deloitte has not yet commenced any review or audit work on the accounts of the Group for the six months ending 30 June 2020 or for the financial year ending 31 December 2020. It is expected that the change of auditors will not have any significant impact on the interim review and the release of interim results of the Group for the six months ending 30 June 2020.

The Board would like to take this opportunity to express its sincere gratitude to Deloitte for its

professional and quality services rendered to the Company during the past years.

APPOINTMENT OF AUDITOR

The Board is pleased to announce that, with the recommendation of the audit committee of the Company, BDO Limited has been appointed as the external auditor of the Company with effect from 17 August 2020, to fill the vacancy following the retirement of Deloitte and to hold office until the conclusion of the next annual general meeting of the Company. Pursuant to Article 176(a) of the articles of association of the Company, the Board has the power to fill any causal vacancy in the office of auditors. Accordingly, no extraordinary general meeting will be held for such purpose.

For and on behalf of the Board

Star Properties Group (Cayman Islands) Limited

Chan Man Fai Joe

Chairman

Hong Kong, 17 August 2020

As at the date of this announcement, the Board consists of eight Directors comprising four executive Directors, namely Mr. Chan Man Fai Joe, Mr. Pong Kam Keung, Ms. Cheung Wai Shuen and Mr. Liu Hon Wai; one non-executive Directors, namely Mr. Yim Kwok Man; and three independent non-executive Directors, namely Dr. Wong Wai Kong, Mr. Lee Chung Ming Eric and Ms. Chan Wah Man Carman.