Chaoda Modern (00682) redeems US$195.4m CB early

  <ET Net News Agency, 15 February 2012>  Chaoda Modern Agriculture (00682) said it has
been notified by the trustee that holders of secured guaranteed convertible bonds in an
aggregate principal amount of US$195.4 million, representing 97.7% of the outstanding
convertible bonds, have indicated that they intended to exercise their right of
redemption, on account of the continued suspension of Chaoda Modern's shares on The Stock
Exchange of Hong Kong Limited for 60 days.
  Despite that the date of redemption has yet to arrive, Chaoda Modern was remitted
US$195.4 million yesterday to the trustee for an intended early settlement of the
principal amount of the convertible bonds held by the redeeming holders.
  Chaoda Modern will be liaising with the trustee to compute the interest payable, and has
set aside sufficient cash for payment of any interest payable. Any interest payable will
likewise be remitted to the trustee for payment to the redeeming holders.
  Since the principal amount of the convertible bonds remaining outstanding will,
immediately following the early redemption of those held by the redeeming holders, be less
than 10% of the aggregate principal amount of the convertible bonds, Chaoda Modern intends
to exercise its right of redemption, which will be satisfied out of its internal
resources. The convertible bonds will be cancelled upon their redemption and will not be
re-issued.