China Shengmu Organic Milk : Announcements and Notices - Delay in Despatch of Circular

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This announcement appears for information purposes only and does not constitute an invitation or offer to acquire, purchase or subscribe for any securities of the Company.

CHINA SHENGMU ORGANIC MILK LIMITED ʕ਷໋ىϞዚุ̲Ϟࠢʮ̡

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 1432)

DELAY IN DESPATCH OF CIRCULAR

Reference is made to the announcements of China Shengmu Organic Milk Limited (the "Company") dated 24 December 2018 and 27 December 2018 (the "Announcements") in relation to, among other things, (i) the Investment Agreements entered into by the Company, among other parties, with Inner Mongolia Mengniu, pursuant to which Inner Mongolia Mengniu has agreed to purchase the Sale Shares in the Target Company; (ii) the Warrant Subscription Agreement A entered into by the Company with the Subscriber A, pursuant to which the Company has agreed to issue to the Subscriber A, and the Subscriber A has agreed to subscribe for the Warrants A; and (iii) the Warrant Subscription Agreement B entered into by the Company with the Subscriber B, pursuant to which the Company has agreed to issue to the Subscriber B, and the Subscriber B has agreed to subscribe for the Warrants B. Unless otherwise defined, capitalised terms used in this announcement shall have the same meanings as those defined in the Announcements.

As disclosed in the announcement of the Company dated 24 December 2018, a circular (the "Circular") containing, among other things, (i) further information regarding the details of the Investment Agreements; (ii) further information regarding the details of the Warrant Subscription Agreements; and (iii) a notice of the EGM and other information as required under the Listing Rules is expected to be dispatched to the Shareholders on or before 4 January 2019.

As additional time is required to prepare and finalise certain information to be included in the Circular, it is expected that the despatch date of the Circular will be postponed to a date on or before 7 January 2019.

By the order of the Board of China Shengmu Organic Milk Limited

Shao Genhuo

Chairman

Hong Kong, 3 January 2019

As at the date of this announcement, the executive directors of the Company are Mr. Yao Tongshan, Mr. Wu Jianye and Mr. Wang Yuehua; and the non-executive directors of the Company are Mr. Wen Yongping, Mr. Sun Qian and Mr. Shao Genhuo; and the independent non-executive directors of the Company are Mr. Fu Wenge, Mr. Wang Liyan and Mr. Li Xuan.