Shougang Concord Grand : ANNOUNCEMENT IN PURSUANCE OF RULE 13.18 (PDF；45KB；2 pages)

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首 長 四 方 ( 集 團 ) 有 限 公 司* SHOUGANG CONCORD GRAND (GROUP) LIMITED

(Incorporated in Bermuda with limited liability)

(Stock Code: 730)

ANNOUNCEMENT IN PURSUANCE OF RULE 13.18

On 13 January 2017, the Borrower entered into the Facility Letter with the Bank. In accordance with the requirements under Rule 13.18 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited, the Company announces the condition in the Facility Letter imposing specific performance obligations on the controlling shareholders of the Company.

Shougang Concord Grand (Group) Limited (the "Company") announces that on 13 January 2017, SCG Finance Corporation Limited (the "Borrower"), a wholly-owned subsidiary of the Company, entered into a facility letter (the "Facility Letter") with China Construction Bank (Asia) Corporation Limited (the "Bank") whereby an uncommitted revolving loan of HKD70,000,000 (the "Facility") would be made available by the Bank to the Borrower subject to the terms and conditions as set out in the Facility Letter. The Facility would expire on the date falling 12 months from the date of the Facility Letter.

Pursuant to the Facility Letter, Shougang Corporation shall own beneficially at least 50% of the entire issued share capital of the Company, whether directly or indirectly, throughout the term of the Facility. Breach of such condition will constitute an event of default upon which the Bank may cancel the Facility or terminate the Facility and demand all outstanding amount under the Facility be immediately due and payable.

As at the date of this announcement, Shougang Corporation, through its subsidiaries owns approximately 50.54% of the entire issued share capital of the Company.

The Company will comply with continuing disclosure requirements pursuant to Rule 13.21 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited.

By Order of the Board

Shougang Concord Grand (Group) Limited Li Shaofeng

Chairman

Hong Kong, 13 January 2017

As at the date of this announcement, the board of directors of the Company comprises Mr. Li Shaofeng (Chairman), Mr. Xu Liang (Managing Director), Mr. Wang Tian (Deputy Managing Director), Mr. Yang Junlin (Deputy Managing Director), Mr. Yuan Wenxin (Deputy Managing Director), Mr. Leung Shun Sang, Tony (Non-executive Director), Mr. Tam King Ching, Kenny (Independent Non-executive Director), Ms. Zhou Jianhong (Independent Non-executive Director) and Mr. Yip Kin Man, Raymond (Independent Non-executive Director).

* For identification purpose only