CHINA AOYUAN (03883) appoints PwC Consulting (Hong Kong) as financial advisor.

CHINA AOYUAN (03883) Announcement: As disclosed in the announcement on March 30, 2026, the Company and the Group as a whole continue to face significant liquidity pressures. Specifically, as of the date of this announcement, the Company has not made payment or caused payment to be made on the interest due on the relevant notes (as defined in the announcement dated March 30, 2026) that was due on March 30, 2026, before the expiration of the 30-day grace period. According to the terms of the relevant notes, this constitutes a default event and has individually triggered cross defaults under certain of the Company's offshore financing arrangements. In light of the current situation, the Company has decided to temporarily suspend payment of principal and interest on all offshore financing debts that have matured or will mature since March 30, 2026, in order to protect the interests of creditors and other stakeholders. To ensure fair implementation of this decision and to strive for equal treatment of the Company's creditors and other offshore creditors of the Group, the Company will endeavor to have its subsidiaries similarly suspend payment of principal and interest on their respective offshore financing debts (that have not defaulted for other reasons). Suspending the fulfillment of the above financial obligations may lead to some creditors of the Group demanding early or immediate repayment and/or taking action in accordance with the terms of the applicable documents. As of the date of this announcement, the Company has not received any early repayment notices or other requests from any other offshore creditors, apart from the notices received regarding mortgage loans (as disclosed in the announcement dated February 27, 2026). The Company has engaged KPMG Advisory (Hong Kong) Limited as its financial advisor and appointed Allen & Overy as its legal advisor to evaluate the Group's capital structure and liquidity, and assist the Company in formulating appropriate and comprehensive restructuring plans. To the fullest extent permitted by law, the Company and its advisors are committed to adhering to the principles of fairness and justice among creditors, and will communicate with creditors on potential options to achieve a feasible solution when necessary or appropriate.