Shimao Group Holdings Limited (Shimao Group) has released an update on actions taken to address the auditor’s 2024 Disclaimer of Opinion, outlining debt restructuring milestones, liquidity initiatives and operational metrics up to 24 March 2026.

Debt Restructuring • Offshore scheme effective 21 July 2025 has reduced overall indebtedness. Approximately US$4.10 billion, or 82 % of the mandatory convertible bonds issued at restructuring, have already been exchanged for about 570 million new shares. • Onshore negotiations have secured extensions on RMB1.80 billion of bank loans, with maturities pushed out as far as 2029, signalling improving lender confidence after the offshore deal.

Liquidity Management • A targeted programme to monetise receivables, land prepayments and deposits is underway, with proceeds channelled to construction costs, taxes and other obligations in line with financing agreements. • Under the national “whitelist” real-estate financing mechanism, the Group has drawn RMB0.75 billion in project loans, easing near-term delivery funding pressure.

Sales and Delivery Performance • Aggregated contracted sales for January–February 2026 totalled RMB2.81 billion. • Approximately 300 residential units have been handed over year-to-date, materially reducing delivery risk.

The Board stated it will continue to publish further updates regarding the remaining matters related to the auditor’s Disclaimer of Opinion in accordance with Hong Kong Listing Rules.