Manz resolves cash capital increase - Shanghai Electric to take stake

The new shares (common stock) shall be offered to the shareholders of the company for subscription during the period from April 25, 2016 through to May 19, 2016. An official ad-hoc announcement reads as follows: Shanghai Electric Germany Holding GmbH, a German subsidiary of Shanghai Electric Group Co., Ltd. (Shanghai, PR China), has agreed to take over at the subscription price the new shares not subscribed by the shareholders. Furthermore, the shareholders Dieter Manz and Ulrike Manz, who currently hold 35.2% and 3.8%, respectively, of the shares of the company, will not exercise the subscription rights according to which they are entitled for subscription to a total of 906,662 new shares, but rather will transfer them to Shanghai Electric Germany Holding GmbH, which has agreed to exercise these subscription rights. The obligations of Shanghai Electric Germany Holding GmbH are subject to several conditions, in particular the approval of anti-trust authorities in China and various other official approvals in China.