Sinovac Determines Trigger Event Occurred Under Rights Agreement

Sinovac Biotech Ltd. (NASDAQ: SVA) ("Sinovac" or the "Company"), a leading provider of biopharmaceutical products in China, today announced that its Board of Directors (the "Board") determined that certain stockholders became "Acquiring Persons," as defined in the Company’s Rights Agreement ("Rights Agreement"), prior to the Company’s Annual General Meeting held on February 6, 2018 (the "AGM"). As a result, a "Trigger Event" occurred under the Rights Agreement. The Board effectuated the exchange (the "Exchange") of each preferred share purchase right (the "Rights") that was valid and outstanding as of the close of trading in the United States on February 22, 2019 for 0.655 of the Company’s common shares (the "Common Shares") and .345 of the Company’s newly created Series B Convertible Preferred Shares (the "Series B Preferred Shares" and, together, each an "Exchange Share"). The total Exchange Shares to be received by any holder will be rounded up to the nearest whole Common Share and rounded down to the nearest whole Series B Preferred Share. Since the Company is issuing a significant number of new Common Shares and Series B Preferred Shares in the Exchange, shareholders should expect the share price to adjust downwards to reflect the issuance of the Exchange Shares. The Board also amended and restated the Rights Agreement and declared a dividend of one preferred share purchase right (the "New Rights") for each share of the Company’s capital stock outstanding as of the close of business on February 22, 2019.

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