Shanghai Dasheng Agriculture Finance Technology : INSIDE INFORMATION UPDATE ON LEGAL PROCEEDINGS

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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

(Stock code: 1103)

INSIDE INFORMATION

UPDATE ON LEGAL PROCEEDINGS

This announcement is made by Shanghai Dasheng Agriculture Finance Technology Co., Ltd. (上海 大生農業金融科技股份有限公司) (the "Company") pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules") and the Inside Information Provisions (as defined in the Listing Rules) under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong).

Reference is made to the announcements of the Company dated 23 September 2019 and 18 October 2019 in relation to the Jiujiang Legal Proceedings and the announcements of the Company dated 29 June 2018, 1 March 2019 and 30 May 2019 in relation to, among other things, the CEFC Legal Proceedings (the "Announcements"). Unless the context otherwise requires, the terms used in this announcement shall have the same meanings as those defined in the Announcements.

As the Company failed to settle the Repayment by 22 October 2019, pursuant to the civil mediation order issued by the Court dated 15 October 2019, the Jiujiang Bank is entitled to the priority of compensation claims against proceeds from the realisation of the Company's interest in Nantong Road and Bridge.

The Company noticed that an auction announcement dated 22 October 2019 has been published by the Shanghai Second Intermediate People's Court* (上海市第二中級人民法院) on the public auction network (www.gpai.net) (the "Gongpai Auction") to put the Company's equity interest in Nantong Road and Bridge (the "Nantong Shares") on auction during the period from 1 December 2019 to 4 December 2019 (the "Auction Period") through the network platform of Gongpai Auction, with a reserve price of RMB570.4 million.

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As at the date of this announcement, the Company had not received any execution ruling from the Court in relation to the auction of the Nantong Shares. The Company will make further announcement(s) to keep its shareholders and investors informed as and when appropriate.

Shareholders and potential investors of the Company should note that the Nantong Shares may not be successfully sold if there is no bidder. The Company will publish announcement(s) to update the status of the auction of the Nantong Shares as and when appropriate.

Shareholders of the Company and potential investors are advised to exercise caution when dealing in securities of the Company.

By order of the Board

Shanghai Dasheng Agriculture Finance Technology Co., Ltd.

Lan Huasheng

Chairman

Shanghai, PRC, 22 October 2019

As at the date of this announcement, the Board comprises three executive directors: Mr. Lan

Huasheng, Mr. Wang Liguo and Mr. Yan Zebin; one non-executive director: Mr. Lu Tingfu; and three

independent non-executive directors: Mr. Chung Cheuk Ming, Mr. Yang Gaoyu and Mr. Zhou Jianhao.

* For identification purpose only

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