FIH Mobile : SALE OF SHARES IN MEITU, INC. BY A SUBSIDIARY

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.

富富富富智智智智康康康康集集集集團團團團有有有有限限限限公公公公司司司司

(incorporated in the Cayman Islands with limited liability)

(Stock Code: 2038)

This announcement is made by FIH Mobile Limited (the "Company", together with its subsidiaries, the "Group") on a voluntary basis. Pursuant to applicable disclosure requirements laid down by the Taiwan Stock Exchange Corporation, Hon Hai Precision Industry Company Limited* ("Hon Hai") (the Company's ultimate controlling shareholder whose shares are listed on the Taiwan Stock Exchange Corporation) is required to make an announcement regarding the subject matter of this announcement. In order to facilitate timely dissemination of information to investors and potential investors in Hong Kong and Taiwan, the Company would like to make this announcement simultaneously upon such disclosure in Taiwan.

Reference is made to page 15 of the Company's 2016 annual report regarding the Group's investment in Meitu, Inc. (a company incorporated in the Cayman Islands whose shares are listed on the Main Board of The Stock Exchange of Hong Kong Limited (the "Stock Exchange") with stock code 1357) ("Meitu").

It is hereby announced that during the period from 31 July 2017 to 9 August 2017 (both dates inclusive), Bright Ease Holdings Limited (being an indirect wholly-owned subsidiary of the Company) ("Bright Ease") sold 8,340,000 ordinary shares in Meitu (representing approximately 0.196% of the entire issued share capital of Meitu as at the date of this announcement) at the average price of approximately HK$11.797 per share through open market trading at the Stock Exchange (the "Share Sale").

The Share Sale resulted in a reduction of Bright Ease's total shareholding in Meitu from approximately 1.111% (representing 47,328,650 ordinary shares) to approximately 0.915% (representing 38,988,650 ordinary shares) of the entire issued share capital of Meitu as at the date of this announcement. On the date of this announcement, when aggregated with approximately 0.441% shareholding (representing 18,807,650 ordinary shares) in Meitu held by Colour Leap Limited (being another indirect wholly-owned subsidiary of the Company), the Group's total shareholding in Meitu amounts to approximately 1.357% (representing a total of 57,796,300 ordinary shares) of the entire issued share capital of Meitu.

The Share Sale gave rise to a gain of the Group amounting to HK$80,481,319, and all the net proceeds derived from the Share Sale have been utilised as general working capital of the Group.

The Company has evaluated the possible alternatives to maximize the benefits (financial, operational and otherwise) from the Group's investment in Meitu, taking into account the then prevailing market conditions, public information currently available and other relevant factors, and the Share Sale represents the Group's realisation of a portion of the financial return from such investment. The Company will continue to conduct the aforesaid evaluation process in respect of the remaining shares in Meitu held by the Group.

The Share Sale does not constitute a notifiable transaction or a connected transaction of the Company under the Rules Governing the Listing of Securities on the Stock Exchange.

The Company's shareholders and potential investors should note that the Company is in the process of reviewing the unaudited consolidated financial information of the Group for the nine months ending 30 September 2017 as well as the Group's latest unaudited management accounts and the related financial information. Accordingly, the information contained in this announcement is subject to possible adjustments following further internal review, and is not based on any figure(s) or information which has/have been reviewed by the Company's auditors or audit committee. The Group's finalised audited consolidated final results and other related details will be disclosed in the 2017 final results announcement and annual report to be published by the Company. Pursuant to the above-mentioned disclosure requirements applicable to Hon Hai, Hon Hai is required to disclose in due course (which is expected to be in or about November 2017) certain unaudited consolidated financial information of the Group for the nine months ending 30 September 2017, and simultaneously upon such disclosure in Taiwan, the Company will announce the same financial information in order to facilitate timely dissemination of information to investors and potential investors in Hong Kong and Taiwan.

By Order of the Board CHIH Yu Yang Acting Chairman

Hong Kong, 9 August 2017

As at the date of this announcement, the board of directors of the Company comprises four executive directors, namely Mr. CHIH Yu Yang, Mr. WANG Chien Ho, Mr. HUANG Chin Hsien and Dr. LUO Zhongsheng; and three independent non-executive directors, namely Mr. LAU Siu Ki, Dr. Daniel Joseph MEHAN and Mr. TAO Yun Chih.

* For identification purposes only