Hong Kong, China, 20 April 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 completed the issue of convertible bonds to China Merchants Fund Management Co., Ltd (“CM Fund”), a subsidiary of China Merchants Bank Co. Ltd (“CMB”), a company which has dual-listed in the A-stock and H-stock market.

Pursuant to the subscription agreement, United PV issued convertible bonds to CM Fund in the principle amount of HK$525 million with an interest rate at 7.5%. The initial conversion price is HK$1.03 per conversion share. The convertible bonds are convertible into 510 million conversion shares, representing approximately 9.70% of its issued share capital as enlarged by the allotment and issue of the conversion shares.

Mr. Zhenwei LU, Executive Director of United PV, said: “After the completion of the convertible bonds agreement, CM Fund is officially bound to United PV, signifying another financial collaboration within the China Merchants. The Central Bank announced yesterday that the Required Reserve Ratio for all banks will be cut by 1%, approximating 1.2 trillion funds are expected to be released. This would greatly improve the bank’s liquidity, and bring down the rate of interest within the market, thus promoting loan activities of banks. As a whole, this would boost the growth of financing within the community and decrease the costs of financing. Solar power plants acquisition requires a great deal of financial capital, the cooperation between CM Fund and United PV and CM Fund’s entry to solar power business through Convertible Bonds have enriched the Company’s operating funds, thus further accelerating the development of green energy business and the green trend. CM Fund’s entry to the solar power business had the milestone significance in the history of the Chinese new energy business. It has strengthened the development of solar power business and brought about a new concept of financing. Looking forward, United PV will continue to reach out for financial partners to become the leading Company with the strongest capital base in the solar industry.”