Shanghai (ZXZC)- According to official announcement released by Geely Automobile Holdings Limited (hereinafter referred to as the Company), on 18 July 2018, Zhejiang Jirun, an indirect 99%-owned subsidiary of the Company, entered into the DJD (Dajiangdong) Acquistion Agreement with Hangzhou Components, pursuant to which Zhejiang Jirun conditionally agreed to acquire and Hangzhou Components conditionally agreed to sell the entire equity of DJD Target company for a cash consideration of RMB 930,620,464.36.

On the same day, Zhejiang Jirun entered into the GY (Guiyang) Acquisition Agreement with Guizhou New Energy, pursuant to which Zhejiang Jirun conditionally agreed to acquire, and Guizhou New Energy conditionally agreed to sell the entire equity of the GY Target, for a cash consideration of RMB 1,074,308,970.43.

In the meantime, Zhejiang Jirun entered into the DMA Acquisition Agreement with Zhejiang Geely, pursuant to which Zhejiang Jirun conditionally agreed to acquire, and Zhejiang Geely conditionally agreed to sell, the entire equity of the DMA Target for a cash consideration of RMB 1,169,398,629.60.

The DJD Target refers to Hangzhou Geely Automobile Company Limited, which is a limited liability company registered in China on March 28, 2018 and a wholly-owned subsidiary of Hangzhou Components as at the date of this announcement. It is principally engaged in the technology research and development, technology consultancy services, manufacture and sale of automobile components and CKDs, and the provision of after-sales services in China.

A production facility with a planned production capacity of 180,000 units of CKDs (complete knock down kits) per year of the DJD Target is currently under construction. It is currently expected that the construction of the DJD Properties will be completed and commercial production will commence in the fourth quarter of 2018. The vehicles to be produced by the DJD Target will be a new pure electric vehicle model and a new sport utility vehicle model.

The GY Target refers to Guizhou Geely New Energy Automobile Company Limited, which is a private limited liability company registered in China on 30 March 2018 and a wholly-owned subsidiary of Guizhou New Energy as at the date of this announcement. It is principally engaged in the research and development, manufacture and promotion of automobile components and CKDs, and provision of after-sales services in China.

A production facility with a planned production capacity of 270,000 units of CKDs per year of GY Target is currently under construction. It is currently expected that the construction of the GY Properties will be completed and commercial production will start in the third quarter of 2018. The vehicles to be produced by the GY Target will be two new multi-purpose vehicle models.

The DMA Target refers to Ningbo Jirun Automobile Components Company Limited, which is a private limited liability company registered in China on 30 March 2016 and a wholly-owned subsidiary of Zhejiang Geely as at the date of this announcement. It is principally engaged in the research and development, manufacture, processing and promotion of automobile components and CKDs, and provision of related after-sales and technical services in China.

A production facility with a planned production capacity of 240,000 units of CKDs per year of DMA Target is currently under construction. It is currently expected that the construction of the DMA Properties will be completed in the third quarter of 2018 and commercial production will commence in the fourth quarter of 2018. The vehicles to be produced by the DMA Target will be a new sport utility vehicle model and a new sedan model.

As at the date of this announcement, Guizhou New Energy and Hangzhou Components are both wholly owned by Zhejiang Geely. As such, each of Zhejiang Geely, Guizhou New Energy and Hangzhou Components is an associate of Li Shufu, an executive director and a substantial shareholder holding approximately 44.42% of the total issued share capital of the Company as at the date of this announcement, and is a connected person of the Company. Accordingly, the Acquisitions constitute connected transactions of the Company pursuant to Chapter 14A of the Listing Rules.