SouFun to Acquire Controlling Stake in Wanli

SouFun Holdings Limited

today announced that it had entered into a framework agreement (the "Framework Agreement") with Chongqing Wanli New Energy Co., Ltd. ("Wanli"), a company listed on the Shanghai Stock Exchange (stock code: 600847), IDG Capital Investment Consulting Beijing Co., Ltd. ("IDG"), Xizang Ruidong Wealth & Investment Management Co. Ltd. ("Ruidong") and Mr. Xicheng Liu, the current controlling shareholder of Wanli ("Mr. Liu"), pursuant to which SouFun plans to acquire a controlling stake in Wanli's public shell, accompanied by a concurrent direct placement of Wanli shares to certain investors including IDG, Ruidong, Mr. Liu or their respective designated persons or third parties(the "Placement"). The Placement is expected to be made at the per share purchase price equal to 90% of the average trading price of Wanli's shares in the 20 trading days immediately before the public announcement of the board resolutions approving the Placement and is expected to raise about RMB2.5 billion to RMB5 billion which is expected to be used for the future business expansion of Wanli. SouFun plans to maintain not less than 70% of the equity