Fantasia : Accomplished Full-Year Sale Target for 2016, and Announced Planned Redemption of the US Dollar-Denominated Senior Notes Due 2019 Before Expiry

[FOR IMMEDIATE RELEASE] Fantasia accomplished full-year sale target for 2016 *** And announced planned redemption of the US dollar-denominated senior notes due 2019 before expiry

(5 January 2017 - Hong Kong) Fantasia Holdings Group Co., Limited ("Fantasia" or the "Company", which together with its subsidiaries, is referred to as the "Group"; HKEx stock code: 1777) announces its sales performance for December 2016. Fantasia Property Group, a subsidiary of the Group, achieved contracted sales of RMB1,079 million, with 144,075 sq.m. in aggregated gross floor area ("GFA") sold for the month of December. For the 12 months ended 31 December 2016, the Group achieved contracted sales of RMB12.206 billion, up 8.3% year on year, thereby completed its full-year sale target of RMB12 billion, with 1,325,320 sq.m. in aggregated GFA sold.

In December 2016, the Central Government reiterated its position that residential properties are meant for occupancy and its objective to meet housing demand of its people across the country. Austerity measures were seen tightened further in property markets in many regions to stem real estate bubbles. Thanks to the balanced planning and the light- asset transformation strategy, Fantasia saw its projects situated in core first- and second-tier cities where the Group focuses on continued to maintain steady development in transaction volumes. On the top of the Group's traditional business of property development and community services, steady growths were also exhibited in Fantasia's diversified business landscapes including community finance, retirement community for senior citizens, community education and cultural tourism, etc.

Mr. Pan Jun, Chairman of Fantasia and Colourlife said: "Fantasia sees opportunities and momentum at where others might perceive lacklustres and turnarounds in the real estate market. In 2016, we have reinforced our position as the largest integrated community sevice operator in China through provision of wide product choices in various segments, ongoing in services and innovations in products. In 2017, we will stay adhered to the brand philosophy of 'Fantasia creates value'. We will accelerate our light-asset transformation while implementing a strategy of blending in light- and heavy-asset activities. Fantasia is on its way to build the industrial financial support system with focuses on integrated community services and other related asset systems, to achieve the long-term goal of a combination of industry and finance."

On 19 December 2016, Fantasia announced that its plan to redeem approximately US$279 million (approximately RMB1,940 million) worth of outstanding US dollar-denominated senior notes before expiry on 23 January 2017, which are the reminder of the US$300 million (approximately RMB2,080 million) senior notes due January 2019 carrying a coupon rate of 10.625%. The Company will redeem the senior notes with internal funds which reflecting Fantasia' sound financial position and abundant cash flow. Full redemption of the US-dollar senior notes and a number of repurchases of them in November 2016 have effectively helped the Group save interest expenses and optimized its debt structure. These moves will also ringfence the Group from foreign exchange risks stemming the recent devaluation of RMB and possible fluctuations in the foreign exchange market from the USFederal Reserve's decision to raise interest rate. The Group will continue to explore diverse financing channels, maintain its gearing ratio at reasonable levels and strengthen its financial stability.

On 1 December 2016, Colour Life Services Group Co., Limited ("Colour Life", HKEx stock code: 1778), and Anhui Goocoo Group ("Goocoo") hosted a joint press conference announcing the establishment of a long-term strategic partnership between the two parties. Colour Life and GooCoo will build the "C-Property" to meet needs of regional mass consumption group through the potential analysis of technology and capital, combined with regional characteristics of the real estate industry according to local conditions (including C-shops, C-parking spot, C-apartment, C-business, etc.). Leveraing Colorful Life's Internet + community service platform and resources, both parties will take transition and upgrading of the real estate industry and improvement of community ecosystem services base on their respective integration of resources to the next level.

Fantasia accomplished full-year sale target for 2016

And announced planned redemption of the US dollar-denominated senior notes due 2019 before expiry 5 January 2017/ Page 2 of 2

On 5 December 2016, Shenzhen-Hong Kong Stock Connect ("SZ-HK Connect" for short) officially debuted operation, and both Fantasia and Colour Life had been included as eligible stocks, bringing better convenience to domestic investors. Although Hong Kong stock market will be influenced by some uncertain factors from overseas in the short term, its valuation is still at low levels with lower risks compared with global market, making investments in it more preferred choices in the long run. After the opening of SZ-HK Connect, shareholder base and profile in the capital market will be enhanced of both Fantasia and Colourlife to reflect the enterprise value of both companies in the long term.

On 23 December, 2016, Fantasia World Outlet, located at Pihua Road, Pidu district, officially commenced operations. This Fantasia's first business project in Chengdu has a total GFA of 700,000 square meters, and retail floor area of 120,000 square meters. More than 200 businesses and 400 brands established presences there, including international brands, theme parks, cinema studios, food courts, and fitness centres , etc., providing customers "one-stop" services in food and entertainment. On the opening day, it did not only receive attention from industry practitioners and the media, but also attracted a huge following of customers. This is another benchmark project that the Group has established in Southwest China following the official opening of Lhasa Fantasia World Outlet - the world's highest Outlet

- in August 2016 .

- End-

About Fantasia Holdings Group Co., Limited

Founded in 1998, Fantasia was successfully listed on the Main Board of The Stock Exchange of Hong Kong in November 2009 under the stock code 1777. Having completed its business strategic layout in the upcoming era of mobile internet and customer big data, Fantasia Group has evolved into a leading financial holding group in China, with a business model driven by financial operations, anchoring on services, and supported by property development. Fantasia conducts full-range of operations and community services, covering eight major areas of value-added services in 181 cities in mainland China, namely - financial services, Colour Life Group, property development, international commercial community services, cultural and tourism, commercial services, senior citizen services and education. So far, the Group has three publicly-listed companies - Fantasia Holdings Group (01777.HK), Colour Life (01778.HK) and Home E&E (834669.CC). It has become the world's largest residential community service operation provider.

Currently, Fantasia is progressing with its international business expansion plan and has established branches in Hong Kong, Taipei, Singapore and Tokyo as well as investing property development projects in Singapore, the United States of America and Taiwan.

It is committing to be the leading industry participant which provides a joyful, colourful and meaningful living space and experience and aims to deliver unique and inspiring living space and experience to value-oriented customers.

To learn more about the Company, please visit Fantasia's website at: www.cnfantasia.com

For more information, please contact: iPR Ogilvy & Mather

Natalie Tam / Gary Li / Peter Chan / Louise Ye / Joseph Zhou / Bianca Yu / Lily Zhang

Tel: [phone] 7654 /3920 7649 /3920 7637 / 3920 7625

Fax: [phone]

Email: [e-mail]