Fantasia : Completed the Redemption of US$300 Million Senior Notes Due 2019

(24 January 2017 - Hong Kong) Fantasia Holdings Group Co., Limited ("Fantasia" or the "Company", which together with its subsidiaries, is referred to as the "Group"; HKEx stock code: 1777) announces that the Company, in a planned move, has redeemed on 23 January 2017 approximately US$279 million worth of US dollar-denominated

senior notes due January 2019 with a 10.625% coupon, the outstanding reminder of the US$300 million issue. The redemption price was equivalent to 105.31% (approximately US$294 million) of the principal amount plus approximately USD14.82 million of accrued and unpaid interests. The redemption was all funded by the Company's internal resources. The Company has thereby fully redeemed all of US$300 million senior notes due 2019 ahead of schedule, at redemption costs aggregated approximately US$309 million.

Mr. Lam Kam Tong, Executive Director and Chief Financial Officer at Fantasia said, "The Group now sees healthy recycling of its sales proceeds that create abundant cash flow. Thus we are optimistic about the Group's financial position and credit quality for this year, and are fully confident about the Group's sustainable steady development in the future. Through repurchases and redemptions of the US dollar-denominated bonds issued earlier, the Group seeks to continue to optimize its financing structure and lower its borrowing costs. These moves will also effectively help to contain impact from exchange rate volatility lately stemming from the new US administration, and uncertainties in Europe triggered by the UK's withdrawal from the EU. The Company will continue to explore better diversity in its financing channels to further enhance its financial stability."

For the 12 months ended 31 December 2016, the Group achieved contracted sales of RMB12.206 billion, up 8.3% year on year, thereby completed its full-year sale target of RMB12 billion, with 1,325,320 sq.m. in aggregated GFA sold.

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Fantasia completed the redemption of US$300 million senior notes due 2019 24 January 2017 / Page 2 of 2

Founded in 1998, Fantasia was successfully listed on the Main Board of The Stock Exchange of Hong Kong in November 2009 under the stock code 1777. Having completed its business strategic layout in the upcoming era of mobile internet and customer big data, Fantasia Group has evolved into a leading financial holding group in China, with a business model driven by financial operations, anchoring on services, and supported by property development. Fantasia conducts full-range of operations and community services, covering eight major areas of value-added services in 181 cities in mainland China, namely - financial services, Colour Life Group, property development, international commercial community services, cultural and tourism, commercial services, senior citizen services and education. So far, the Group has three publicly-listed companies - Fantasia Holdings Group (01777.HK), Colour Life (01778.HK) and Home E&E (834669.CC). It has become the world's largest residential community service operation provider.

Currently, Fantasia is progressing with its international business expansion plan and has established branches in Hong Kong, Taipei, Singapore and Tokyo as well as investing property development projects in Singapore, the United States of America and Taiwan.

It is committing to be the leading industry participant which provides a joyful, colourful and meaningful living space and experience and aims to deliver unique and inspiring living space and experience to value-oriented customers.

To learn more about the Company, please visit Fantasia's website at: www.cnfantasia.com

Natalie Tam / Gary Li / Peter Chan / Joseph Zhou / Bianca Yu / Lily Zhang

Tel: +852 2136 6182 / 3170 6753 / 2136 6955 / 3920 7649 / 3920 7637 / 3920 7625

Fax: +852 3170 6606

Email: fantasia@iprogilvy.com

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