China Traditional Chinese Med Hldg CoLtd : NOTICE OF THE EXTRAORDINARY GENERAL MEETING

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this notice, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this notice.

CHINA TRADITIONAL CHINESE MEDICINE HOLDINGS CO. LIMITED

中國中藥控股有限公司

(Incorporated in Hong Kong with limited liability)

(Stock Code: 570) NOTICE OF THE EXTRAORDINARY GENERAL MEETING NOTICE IS HEREBY GIVEN that the extraordinary general meeting of China Traditional Chinese Medicine Holdings Co. Limited (the "Company") will be held at 2:00 p.m. on Friday, 6 January 2017 at Conference Room, 2nd Floor, No. 1 Keyuan Heng 4 Road, Gaoli Hi-Tech Park, Ronggui, Shunde District, Foshan City, Guangdong Province, the PRC for the purpose of considering and, if thought fit, passing the following resolutions as ordinary resolutions of the Company: ORDINARY RESOLUTIONS

1. "THAT:

2. the New Master Purchase Agreement (as defined in the circular to the shareholders of the Company dated 19 December 2016 (the "Circular")) and the transactions contemplated thereunder be and are hereby approved;

3. the annual caps in relation to the transactions contemplated under the New Master Purchase Agreement for the three financial years ending 31 December 2017, 2018 and 2019 be and are hereby approved; and

4. any one director of the Company be and is hereby authorised to do all such acts or things, as he may in his absolute discretion consider necessary or desirable, to give effect to the New Master Purchase Agreement and the transactions contemplated thereunder."

5. "THAT:

6. the New Master Supply Agreement (as defined in the Circular) and the transactions contemplated thereunder be and are hereby approved;

7. the annual caps in relation to the transactions contemplated under the New Master Supply Agreement for the three financial years ending 31 December 2017, 2018 and 2019 be and are hereby approved; and

8. any one director of the Company be and is hereby authorised to do all such acts or things, as he may in his absolute discretion consider necessary or desirable, to give effect to the New Master Supply Agreement and the transactions contemplated thereunder."

9. "THAT:

Ms. HUANG He be and is hereby re-elected as a non-executive director of the Company."

By order of the Board

China Traditional Chinese Medicine Holdings Co. Limited WU Xian

Chairman

19 December 2016

Notes:

1. In order to determine the Shareholders who are entitled to attend the EGM, the Company's register of Shareholders will be closed from Wednesday, 4 January 2017 to Friday, 6 January 2017 (both days inclusive). The Shareholders whose names appear on the register of members of the Company on Friday, 6 January 2017 are entitled to attend and vote at the EGM. Shareholders who wish to attend the EGM but have not registered the transfer documents are required to deposit the transfer documents together with the relevant share certificates at the registrar of the Company in Hong Kong, Computershare Hong Kong Investor Services Limited, at Shops 1712-1716, 17th Floor, Hopewell Centre, 183 Queen's Road East, Wanchai, Hong Kong no later than 4:30 p.m. on Tuesday, 3 January 2017.

2. Any member of the Company entitled to attend and vote at a meeting of the Company shall be entitled to appoint another person as his/her proxy to attend and vote instead of him/her. A member who is the holder of two or more shares may appoint more than one proxy to represent him/her and vote on his/her behalf at a general meeting of the Company or at a class meeting. A proxy need not be a member of the Company.

3. A form of proxy for the meeting is enclosed. The instrument appointing a proxy and the power of attorney or other authority, if any, under which it is signed, or a certified copy of such power or authority, shall be deposited at the Company's registered office at Room 1601, Emperor Group Centre, 288 Hennessy Road, Wanchai, Hong Kong as soon as possible and in any event not less than 48 hours before the time appointed for holding the meeting.

As at the date of this notice, the Board comprises twelve Directors, of which Mr. WU Xian, Mr. YANG Bin and Mr. WANG Xiaochun are executive Directors; Mr. LIU Cunzhou, Mr. DONG Zenghe, Mr. ZHAO Dongji, Ms. HUANG He and Ms. TANG Hua are non-executive Directors; and Mr. ZHOU Bajun, Mr. XIE Rong, Mr. YU Tze Shan Hailson and Mr. LO Wing Yat are independent non-executive Directors.