Yingde Gases : Announcements and Notices - Update Announcement

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.

盈 德 氣 體 集 團 有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

References are made to (i) the response document of the Company dated 25 March 2017 (the "Response Document"); and (ii) the announcement of the Company dated 13 April 2017 in relation to the update of the Updated R10.11 Statement and the Independent Financial Adviser's opinion and recommendations in respect of the Offers (the "Announcement"). Unless otherwise defined, capitalised terms used herein shall have the same meanings as those defined in the Response Document and the Announcement.

As disclosed in the Response Document and the Announcement, certain employees of the Company were dismissed in March and April 2017. In this regard, the Company wishes to update the shareholders that as of the date of this announcement, the Company has received notices from some of the dismissed employees disputing the manner in which they were dismissed as well as seeking (i) to reinstate their employment; and (ii) compensation for their remuneration during the period of their disputed dismissals. The Company is now seeking legal advice regarding this matter and will assess the potential financial impact on the Company (if any).

Further announcement will be made by the Company on the development of this matter as and when appropriate in accordance with the Takeovers Code and the Listing Rules.

Hong Kong, 18 April 2017

By order of the Board

盈德氣體集團有限公司

Chairman

As at the date of this announcement, the executive directors of the Company are Mr. Zhongguo Sun and Mr. Trevor Raymond Strutt; the non-executive directors of the Company are Mr. Wong Tak-Wai, Mr. Qiu Zhongwei, Mr. Xiao Suining and Mr. Hui David He; and the independent non-executive directors of the Company are Mr. Zheng Fuya, Dr. Wang Ching, Mr. Jhi-Ho Mah, Mr. Rawen Zhi Hong Huang, Mr. David Chan and Mr. Deng Xipeng.

The directors of the Company jointly and severally accept full responsibility for the accuracy of the information contained in this announcement, and confirm, having made all reasonable enquires, that to the best of their knowledge, opinions expressed in this announcement have been arrived at after due and careful consideration and there are no other facts not contained in this announcement, the omission of which would make any statement contained in this announcement misleading.