Huishang Bank : Announcements and Notices - Announcement on Update of the Status of the Public Float

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Huishang Bank Corporation Limited*

徽 商 銀 行 股 份 有 限 公 司 *

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

(Stock Code: 3698 and 4608 (Preference shares)) ANNOUNCEMENT ON UPDATE OF THE STATUS OF THE PUBLIC FLOAT

Reference is made to the announcements (the "Announcements") of Huishang Bank Corporation Limited (the "Bank") dated May 11, 2016, May 19, 2016, June 21, 2016, August 1, 2016,

August 30, 2016, September 30, 2016 and October 31, 2016. Unless otherwise defined herein, capitalized terms used in this announcement shall have the same meanings as those defined in the Announcements.

The Bank wishes to update its shareholders and potential investors about the status of the public float of the Bank's H shares.

UPDATE OF THE STATUS OF THE PUBLIC FLOAT OF THE BANK

The current public float of the Bank's H shares is 24.04% and remains below the minimum of 25% as required under Rule 8.08(1)(a) of the Listing Rules.

To the best of the Board's knowledge and according to the latest information received by the Bank, the Bank's current shareholding structure of its ordinary shares is as follows:

Shareholder Number of ordinary shares of the Bank held Percentage of the issued share of the Bank in each class of shares (note3) Percentage of the total issued ordinary shares of the Bank (note3)

Shanghai Soong Ching Ling Foundation (Note1)

Domestic shares 649,042,730 8.23% 5.87%

H shares 506,646,000 16.02% 4.59%

Sub-total 1,155,688,730 - 10.46%

Other holders of domestic shares (Note 2) 7,238,276,553 91.77% 65.51%

Other public holders of H shares 2,655,854,000 83.98% 24.04%

Total 11,049,819,283 - 100%

Notes:

1. To the best of the Board's knowledge and according to the latest information received by the Bank, as at the date of this announcement, Shanghai Soong Ching Ling Foundation indirectly controls Zhongjing Xinhua Asset Investment Management Co., Ltd., Zhongjing Sihai Company Ltd., Zhongjing Xinhua Hong Kong and Wealth Honest, which in turn directly holds 204,346,570 domestic shares, 444,696,160 domestic shares, 37,416,000 H shares and 469,230,000 H shares of the Bank, respectively. Accordingly, Shanghai Soong Ching Ling Foundation is deemed to be interested in the shares of the Bank held by the above-mentioned companies.

   In addition, according to the disclosure of interests forms submitted to the Stock Exchange by Shanghai Soong Ching Ling Foundation and Wealth Honest on May 16, 2016, the Bank became aware that Wealth Honest acquired 400,000,000 H shares of the Bank by way of off-exchange trading on May 12, 2016. The Bank was subsequently officially informed on July 8, 2016 that the proposed acquisition of these 400,000,000 H shares of the Bank by Wealth Honest has not yet been completed. According to the latest information received by the Bank and based on the Bank's enquiry on the disclosure of interests forms related to the Bank's H shares as submitted to the Stock Exchange as at the date of this announcement, no updates are noted, and the proposed acquisition of 400,000,000 H shares by Wealth Honest has not yet been completed to date. Accordingly, Shanghai Soong Ching Ling Foundation is not deemed to have an interest in these 400,000,000 H shares of the Bank. Assuming there is no other reason which would lead to a change in the public float of the Bank's H shares before completion of the acquisition of these shares, the public float of the Bank's H shares will further decrease from approximately 24.04% to approximately 20.42% upon completion of such acquisition. The Bank will closely monitor the progress of such transaction and publish announcement(s) as and when appropriate.

2. To the best of the Board's knowledge and according to the latest information received by the Bank, the Bank has more than 16,300 holders of domestic shares, and no single holder of domestic shares holds 10% or more of the total issued ordinary share capital of the Bank.

3. Any discrepancies between the percentage of total and sum of items showed in the table are due to rounding.

4. As at the date of this announcement, the Bank has issued 44,400,000 offshore preference shares with a par value of RMB100 each. Pursuant to the articles of association of the Bank, the holders of offshore preference shares of the Bank are not entitled to convene and attend any general meeting of the Bank or vote at any general meeting of the Bank, except as stated in the terms and conditions of the offshore preference shares. If any trigger event occurs, offshore preference shares may be converted into H shares in accordance with the conversion terms. For further details, please refer to the announcements of the Bank dated November 3, 2016 and November 10, 2016.

PROPOSAL TO RESTORE PUBLIC FLOAT

The Bank is currently considering various options so as to restore its public float as soon as practicable, including (i) continuing to promote the initial public offering and the listing of A shares; (ii) contacting the substantial shareholders of the Bank and suggesting them to place down their shares in the Bank as soon as practicable; and (iii) seeking opportunities to conduct placing of H shares after considering the market conditions in full and with detailed planning. The Bank will also publish announcements on a monthly basis to update its shareholders and potential investors on the status of the public float of the Bank and measures that may be introduced by the Bank to restore its public float.

Shareholders and potential investors of the Bank are advised to exercise caution when dealing in the shares of the Bank.

By order of the Board

Huishang Bank Corporation Limited* Li Hongming

Chairman

Hefei, Anhui Province, China November 30, 2016

As at the date of this announcement, the board of directors of the Bank comprises Li Hongming, Xu Demei, Wu Xuemin and Ci Yaping as executive directors; Zhang Feifei, Zhu Jiusheng, Qian Li, Lu Hui, Zhao Zongren, Qiao Chuanfu and Gao Yang as non-executive directors; Au Ngai Daniel, Dai Genyou, Wang Shihao, Zhang Shenghuai, Fung Weichang and Zhu Hongjun as independent non- executive directors.

* Huishang Bank Corporation Limited is not an authorized institution within the meaning of the Banking Ordinance (Chapter 155 of the Laws of Hong Kong), not subject to the supervision of the Hong Kong Monetary Authority, and not authorized to carry on banking/deposit-taking business in Hong Kong.