General Announcement::LAPSE OF THE EXCHANGE OFFER AND CONSENT SOLICITATION RELATING TO THE 6.5% SENIOR NOTES DUE 2021

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.

This announcement does not constitute an offer to sell or the solicitation of an offer to buy any securities in the United States or any other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No securities may be offered or sold in the United States absent registration or an applicable exemption from registration requirements. Any public offering of securities to be made in the United States will be made by means of a prospectus. Such prospectus will contain detailed information about the company making the offer, management, as well as financial statements. The Company does not intend to make any public offering of securities in the United States.

KAISA GROUP HOLDINGS LTD.

佳 兆 業 集 團 控 股 有 限 公 司 *

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 1638)

LAPSE OF THE EXCHANGE OFFER AND CONSENT SOLICITATION RELATING TO THE OUTSTANDING 6.5% SENIOR NOTES DUE 2021

Reference is made to the announcement of the Company dated 25 November 2021 (the "Announcement") in relation to the Exchange Offer and Consent Solicitation. Capitalised terms in this announcement have the same meaning as those in the Announcement.

The Exchange Offer and Consent Solicitation expired at 4:00 p.m., London time, on 2 December 2021. As of the Expiration Deadline, the Company received valid tenders of the Existing Notes of less than the Minimum Acceptance Amount. As the Minimum Acceptance Amount is a condition to the Exchange Offer and Consent Solicitation, which has not been met, the Exchange Offer and Consent Solicitation will not proceed and shall lapse automatically.

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The Existing Notes will mature on 7 December 2021. As of the date of this announcement, US$400,000,000 in aggregate principal amount of the Existing Notes remain outstanding. The Company has been in discussions with representatives of certain holders of the Existing Notes. As at the date of this announcement, no legally binding agreement has been entered into. To ease the current liquidity issue and reach an optimal solution for all stakeholders, the Company is assessing and is closely monitoring the financial condition and cash position of the Group. It will explore feasible solutions (including but not limited to renewal and extension of borrowings and disposing of assets). There is no guarantee that the Company will be able to meet the repayment obligations under the Existing Notes at maturity. If the Company is unable to repay the Existing Notes at its maturity or agree with its holders on alternative arrangements, it would have a material adverse effect on the Group's financial condition.

The distribution of this announcement in certain jurisdictions may be restricted by law. Persons into whose possession this announcement comes are required to inform themselves about, and to observe, any such restrictions. This announcement is provided to you because you are a non-U.S. person outside the United States in accordance with Regulation S.

By order of the Board

Kaisa Group Holdings Ltd.

Kwok Ying Shing

Chairman

Hong Kong, 3 December 2021

As at the date of this announcement, the executive Directors are Mr. Kwok Ying Shing, Mr. Sun Yuenan, Mr. Mai Fan, Mr. Li Haiming and Mr. Kwok Hiu Kwan; the non-executive Director is Ms. Chen Shaohuan; and the independent non-executive Directors are Mr. Zhang Yizhao, Mr. Rao Yong, and Mr. Liu Xuesheng.

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