600401: *ST Announcement on continuous suspension of trading for planning a non-public issuance of shares

Published Date: 2016/1/6    Security Code: 600401    Security Name: ST Hareon Solar

Announcement on continuous suspension of trading for planning a non-public issuance of shares

The Company and all members of the Board of Directors guarantee that there are no fraudulent disclosures, misleading statements or material omissions in this announcement, and shall be individually and jointly responsible for its truthfulness, accuracy and integrity.

Hareon Solar Technology Co., Ltd. (hereinafter referred to as the "Company") is planning significant matters, and therefore, in keeping with the rules and regulations of Shanghai Stock Exchange, trading in the Shares of the Company was suspended from 22 Dec 2015.  After careful assessment, the Company has resolved to issue non-public shares, related details for which may be found in the Announcement on suspension of trading for planning non-public issuance of shares disclosed by the Company (File No.: 2015-196).

This non-public issuance of shares by the Company is to raise funds which will be invested, according to preliminary decision, to acquire and construct PV projects, repay loans, and supplement working capital. The proposed acquisition of the assets targets four to five companies. The company is organizing relevant audits, evaluations and other due-diligence towards the target companies.

Given the workload of the audit, evaluation and due-diligence indicated above, such work will take time to complete and require continuous negotiations with interested parties in issues related to procedures of the non-public issuance of shares, which may still contain large uncertainties. In order to ensure the fairness of information disclosure, to protect the interests of investors, and to avoid unusual stock price movement, the trading in shares of the Company as applied will continue to be suspended from January 6, 2016. During the trading suspension, the Company will be pursuant to relevant provisions to fulfill the obligations to disclose information timely, to determine matters related to non-public issuance of shares as soon as possible, and will publish announcement on related progress within five trading days from the date of suspension.

It is hereby resolved.

By order of the Board

Hareon Solar Technology Co., Ltd.

5 January 2016