Brilliance China Automotive Holdings Limited Completes Share Placement; Proceeds Raised to Finance Upgrade of Production Facilities for Sedan Project

    NEW YORK--May 29, 2001--Brilliance China Automotive Holdings Limited (the "Company") announced today that it completed a placement of 318 million ordinary shares in the Company at a price of HK$2.2 (US$0.28), a 4.97% discount to the previous ten-day average.
    The placement was equivalent to 9.5% of the existing share capital of the Company (8.7% of the resulting enlarged capital size) and raised net proceeds of HK$670.0 million (US$85.9 million) for the Company.
    The Company intends to use 60% of the net proceeds of the placement to acquire pressing facilities as part of phase II of the improvement and expansion plan of its production facilities. The remaining 40% will be used as working capital for increasing minibus production volume and the anticipated launch of new products by the Company.
    The placement, which was made to international institutional investors outside of the United States, was solely lead managed by bookrunner CLSA Limited and the book build portion was ten times oversubscribed.
    Mr. Yang Rong, Chairman and President of the Company, said, "We are delighted by the strong response from international investors. We take it as a vote of confidence in our business plan, and the monies raised will enable us to move more quickly into the Chinese sedan market."
    The Company, incorporated in Bermuda, was established in 1992 to own a 51% interest in Shenyang Automotive, a Sino-foreign joint venture enterprise established in 1991. Shenyang Automotive, located in Shenyang, the capital of Liaoning Province and the commercial centre of northeastern region of China, is the leading manufacturer and distributor of minibuses in China. The Company was the first with operations solely in China to list directly on the New York Stock Exchange.

    Translation of amounts, for the convenience of the reader, from Hong Kong dollars (HK$) to U.S. dollars (US$) has been made at the rate of US$1.00 = HK$7.80. No representation is made that the Hong Kong dollar amounts could have been, or can be converted into U.S. dollars at that rate or at any other rate.