Hong Kong, China, 5 May 2015 - United Photovoltaics Group Limited (“United PV” or the “Company”, stock code: 00686.HK, whose largest shareholder is China Merchants New Energy Group “CMNE”), a leading solar power plant investor and operator in China, is pleased to announce today that, the Company and China Huarong International Holdings Limited (“Huarong International”) entered into a term sheet, pursuant to which United PV intends to issue convertible bonds to Huarong International to jointly acquire solar power plants.

Pursuant to the term sheet, Huarong International will subscribe for the 7% three-year convertible bonds in the principal amount of US$100 million issued by the Company, at the conversion price of HK$1.31. The proceeds from which will be used for the acquisition of solar power plants in China. Huarong International is an indirectly wholly-owned subsidiary of China Huarong Asset Management Co., Ltd. (“China Huarong”), principally engaged in investment business. With the approval of the State Council of China, China Huarong was established as a state-owned non-banking financial corporation in 2012 jointly by the Ministry of Finance and China Life Insurance (Group) Company. It is one of the largest four financial assets management companies in China with total assets of over RMB600 billion by the end of 2014.

Following the Company’s issue of a total of over HK$2 billion convertible bonds to China Orient Asset Management, Fosun international, Ping An Insurance and China Merchants Fund, this has given United PV another opportunity to collaborate with large financial institutions, signifying state-owned financial enterprises’ recognition and confidence in the Company’s development strategy and the favourable environments of solar industry ahead. As a sizable state-owned financial enterprise, China Huarong has a strong capital foundation and possesses unique advantages in utilizing the resources of regional governments across China. As a leading enterprise in the Chinese solar power industry, United PV is going to offer China Huarong a quality platform for solar business development so as to accommodate the interests of both parties. The cooperation will strengthen the Company’s working capital and its expansion within the solar power industry. In addition, it has shown the Company’s strength in sourcing investment capital. Looking ahead, United PV will actively cooperate with various financial partners to jointly explore a new credit model for the energy business.