Guolian Securities : CONNECTED TRANSACTION ESTABLISHMENT OF PARTNERSHIP

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(a joint stock limited company established in the People's Republic of China with limited liability)

(Stock Code: 01456)

CONNECTED TRANSACTION ESTABLISHMENT OF PARTNERSHIP

The Board announces that, the Board has considered and approved the relevant resolution, which approved the joint establishment of the Partnership by Guolian Capital, a wholly-owned subsidiary of the Company, and Wuxi Rural Revitalization Fund and other investors by entering into the Partnership Agreement, of which, Guolian Capital will act as fund manager to provide management services to the Partnership. The terms of the Partnership Agreement are subject to the final signed agreement.

The total size of the Partnership is RMB1,000,000,000, of which RMB85,000,000 is contributed by Guolian Capital and RMB50,000,000 is contributed by Wuxi Rural Revitalization Fund.

Guolian Capital is a wholly-owned subsidiary of the Company. As Guolian Group directly and indirectly holds 57.87% of the shares of the Company, it is a Controlling Shareholder as defined under the Listing Rules, and is therefore a Connected Person of the Company.

Guolian Group, Wuxi Guolian Financial Investment Group Co., Ltd.* （無錫國聯金融投資 集團有限公司） and Wuxi Guolian Industrial Investment Co., Ltd.* （無錫國聯產業投資有 限公司） , both controlled by Guolian Group, hold as to 60%, 29.6% and 0.4% of the shares of Wuxi Rural Revitalization Fund respectively. Wuxi Guolian Industrial Investment Co.,

Ltd. is the manager and executive partner of Wuxi Rural Revitalization Fund, and therefore, Wuxi Rural Revitalization Fund is a Connected Person of the Company. Accordingly, the transactions contemplated under the establishment of the Partnership constitutes a Connected Transaction of the Company under Chapter 14A of the Listing Rules.

As the applicable percentage ratios calculated pursuant to Rule 14.07 of the Listing Rules in respect of the capital contribution amount regarding the establishment of the Partnership are more than 0.1% but less than 5%, the establishment of the Partnership is subject to the reporting and announcement requirements under Chapter 14A of the Listing Rules, but can be exempted from the independent Shareholders' approval requirements.

Further announcement will be made by the Company in accordance with the requirements of the Listing Rules after the Partnership Agreement is officially signed.

PARTNERSHIP AGREEMENT

The principal terms of the Partnership Agreement are summarized as follows:

Parties and capital contribution amounts:

Nature

NameMethod of capital contribution

Subscribed capital contribution (In RMB'0,000)Contribution ratio (%)

General partnersGuolian Capital Co., Ltd.*

Cash

8,500 8.50

（國聯通寶資本投資有限責任公司）

Zhongxin Hongchuang (Wuxi) Investment

Cash

500 0.50

Management Co., Ltd.*

（中新泓創（無錫）投資管理有限公司）

Limited partners

Wuxi Rural Development and

Cash

5,000 5.00

Revitalization Investment Fund

(Limited Partnership)*

（無錫市鄉村發展振興投資基金（有限合夥））

Other independent third parties

Cash

86,000 86.00

Name of Partnership: Jiangsu Time-honoured Industrial Investment Fund (Limited

Partnership)* （江蘇老字號產業投資基金（有限合夥））

Principal activities of the Partnership:

The main investment directions are time-honoured enterprises in Jiangsu Province and high-quality enterprises with brand value and development potential

Duration period of the Partnership:

7 years (of which the investment period is 4 years, and the withdrawal period is 3 years, which can be extended for not more than 2 years by the resolution of the partners' meetings)

Fund manager:	Guolian Capital
Executive partner:	Zhongxin Hongchuang (Wuxi) Investment Management Co., Ltd.
Management fee	It is determined by the general partners of the fund upon negotiation
income:	with each partner in accordance with the principle of marketization.
Investment income:	Investment income will be distributed to all partners based on the
principles of principal first before income, and limited partners first
before general partners; among them, the general partners can be
distributed the threshold income and excess income according to the
Partnership Agreement.

REASONS FOR AND BENEFIT OF THE TRANSACTION

The establishment of the Partnership will further expand the asset management scale of Guolian Capital, which is beneficial to Guolian Capital to expand its business, and at the same time facilitate to enhance the Company's strengths in equity investment and fund management businesses, and improve the brand awareness of the Company.

The terms of the Partnership Agreement are made after an arm's length negotiation between the parties thereto. The Directors (including independent non-executive Directors) consider that the transaction is beneficial for the development of the private equity fund business of the Company and is in the interest of the Company and its Shareholders as a whole. There is no circumstance that will damage the interests of the Company and its minority Shareholders or will affect the independence of the Company.

IMPLICATIONS OF LISTING RULES

Guolian Capital is a wholly-owned subsidiary of the Company. As Guolian Group directly and indirectly holds 57.87% of the shares of the Company, it is a Controlling Shareholder as defined under the Listing Rules, and is therefore a Connected Person of the Company. Guolian Group, Wuxi Guolian Financial Investment Group Co., Ltd.*（無錫國聯金融投資集團有限 公司）and Wuxi Guolian Industrial Investment Co., Ltd.*（無錫國聯產業投資有限公司）, both controlled by Guolian Group, hold as to 60%, 29.6% and 0.4% of the shares of Wuxi Rural Revitalization Fund respectively. Wuxi Guolian Industrial Investment Co., Ltd. is the manager and executive partner of Wuxi Rural Revitalization Fund, and therefore, Wuxi Rural Revitalization Fund is a Connected Person of the Company. Accordingly, the transactions contemplated under the establishment of the Partnership constitutes a Connected Transaction of the Company under Chapter 14A of the Listing Rules.

As the applicable percentage ratios calculated pursuant to Rule 14.07 of the Listing Rules in respect of the capital contribution amount regarding the establishment of the Partnership are more than 0.1% but less than 5%, the establishment of the Partnership is subject to the reporting and announcement requirements under Chapter 14A of the Listing Rules, but can be exempted from the independent Shareholders' approval requirements.

As the transactions contemplated under the Partnership Agreement constitute a Connected Transaction of the Company, Mr. Hua Weirong and Mr.Yao Zhiyong (being the Directors of the Company), shall abstain from voting in relation to the relevant resolution of the Board due to their positions as the president and vice president of Guolian Group, respectively, and Mr. Zhou Weipin (being the Director of the Company), shall abstain from voting in relation to the relevant resolution of the Board due to his position as the chairman of Guolian Trust, the subsidiary of Guolian Group.

The terms of the Partnership Agreement are subject to the final signed agreement. Further announcement will be made by the Company in accordance with the requirements of the

Listing Rules after the Partnership Agreement is officially signed.

DEFINITION
"Board"	the board of Directors of the Company
"Company"	Guolian Securities Co., Ltd.（國聯證券股份有限公司）,
a joint stock company established in the PRC with limited
liability, whose H Shares are listed on the Stock Exchange
and A Shares are listed on the main board of Shanghai Stock
Exchange
"Connected Person(s)"	has the meaning ascribed to it under the Listing Rules
"Controlling	has the meaning ascribed to it under the Listing Rules
Shareholder(s)"
"Director(s)"	the director(s) of the Company
"Guolian Capital"	Guolian Capital Co., Ltd.（國聯通寶資本投資有限責任
公司）, a company incorporated in the PRC with limited
liability, and a wholly-owned subsidiary of the Company
"Wuxi Rural	Wuxi Rural Development and Revitalization Investment
Revitalization Fund"	Fund (Limited Partnership)（無錫市鄉村發展振興投資基
金（有 限 合 夥））, a limited partnership incorporated in the
PRC
"Guolian Group"	Wuxi Guolian Development (Group) Co., Ltd（. 無錫市國
聯發展（集團）有限公司） , a wholly state-owned limited
liability company established in the PRC, the Controlling
Shareholder of the Company
"Group"	the Company and its subsidiaries
"Hong Kong"	Hong Kong Special Administrative Region of the PRC
"Listing Rules"	the Rules Governing the Listing of Securities on The Stock
Exchange of Hong Kong Limited
5

"Partnership"	Jiangsu Time-honoured Industrial Investment Fund (Limited
Partnership) （江蘇老字號產業投資基金（有限合夥））,
a partnership to be established in accordance with the
Partnership Agreement, and the name is subject to the
industrial and commercial registration records filed
"Partnership Agreement"	the partnership agreement to be entered into between
Guolian Capital and Wuxi Rural Revitalization Fund and
other investors for jointly promoting the establishment of the
Partnership
"PRC"	the People's Republic of China
"RMB" or "Renminbi"	Renminbi, the lawful currency of the PRC
"Subsidiary"	has the meaning ascribed to it under the Listing Rules
"Shareholder(s)"	holder(s) of the Share(s) of the Company
"Stock Exchange"	The Stock Exchange of Hong Kong Limited
"%"	per cent

By order of the Board Guolian Securities Co., Ltd.

Yao Zhiyong

Chairman

Wuxi, Jiangsu Province, the PRC

18 March 2021

As of the date of this announcement, the executive director of the Company is Mr. Ge Xiaobo; the non-executive directors of the Company are Mr. Yao Zhiyong, Mr. Hua Weirong, Mr. Zhou Weiping, Mr. Liu Hailin and Mr. Zhang Weigang; and the independent non-executive directors of the Company are Mr. Lu Yuanzhu, Mr. Wu Xingyu and Mr. Chu, Howard Ho Hwa.