High-quality land bank and strong execution, stable profitability and financial leverage

HONG KONG, CHINA - Media OutReach - 22 October 2020 - CIFI Holdings (Group) Co. Ltd. ("CIFI" or the"Group", HKEx stock code: 884), a leading real estate developer andinvestor in first-, second- and robust third-tier cities in China, is pleasedthat Lianhe Ratings Global Limited ("Lianhe"), an international credit ratingcompany, has upgraded CIFI's global scale long-term issuer credit rating to "BBB-"from "BB+" and the outlook is stable. The upgrade reflects CIFI's leadingposition in the Chinese property developer market, a track record of prudentoperating performance, consistent profitability and financial leverage, andfinancial discipline demonstrated in the past years. The move is a recognitionof the Group's outstanding performance.

Lianhe rating report expected that CIFI will continue expandingits franchise, diversifying revenue source, and replicating the success in theYangtze River Delta region to continue expanding and deepening its footprintnationally by formulating the strategy of centralized financing, investing anddecision-making platform while delegating its project management to the sevendecentralized regional teams and offices to streamline the operation to achievea high efficiency.

Lianhe stated that CIFI reported contracted sales of over RMB80 billionin 1H2020 despite the COVID-19 outbreak in early 2020 and achieved asingle-month record-high contracted sales of RMB25 billion in June 2020. CIFIwas ranked 18th in terms of gross contracted sales by CRIC in the 1H2020 whichplaced it among the top 20 leaders of the Chinese property market and rankedamong the top 10 players (mostly) within the company's top 10-city coveragewhich further solidifies its market leader position.

The report also stated that CIFI's high-quality land bank coversover 60 cities helps reducing its policy risk. Together with its strongexecution, Lianhe believed that the Group would be able to maintain its grossmargin and profitability in the next 12 to 18 months even under the pressure ofincreasing land-banking expenses.

Furthermore, Lianhe believed that CIFI's management is mindful ofcost control and the use of financial leverage while growing a nationalfranchise and delivering projects by their preset metrics. Its attributableland bank of 27.7 million square meters at end-June 2020 was sufficient tosupport the company's growth target for the next three years. This allows aflexible headroom of land acquisition targets, therefore aggressive land-banking through increasing financial leverage ishence unlikely.

Mr. Lin Zhong, Chairman of CIFI,said "We welcome the upgrade of our global scale long-term issuer credit ratingby Lianhe. The move is the capital market's recognition of CIFI's excellentbusiness and financial performance. Looking ahead, CIFI will continue to achieveefficient and high asset-turnover operating strategies to consolidate our leadingposition in the Chinese property market and generate encouraging return to ourshareholders."

Lianhe is an international credit rating company that providescredit ratings to corporations, banks, non-bank financial institutions, localgovernment financing vehicles, and other asset classes around the globe. Lianhealso provides credit risk research and other services related to creditratings.

About CIFI (Group):

Headquarteredin Shanghai, CIFI is one of China's top real estate developers. CIFIprincipally focuses on developing high-quality properties in first-, second-and select third-tier cities in China. CIFI develops various types ofproperties, including residential buildings, offices and commercial complexes.

Tolearn more about the Company, please visit CIFI's website at:https://www.cifi.com.cn