Half Yearly Report

30 September 2015

Origo Partners Plc

("Origo" or the "Company" and together with its subsidiaries the "Group")

Interim Financial Report for the six months ended 30 June 2015

Origo announces its unaudited interim results for the six months ended 30 June 2015 (the "Period")

Highlights:

• Total investments of US$0.4 million in existing portfolio companies 

• Investment gain of US$3.2 million (30 June 2014 investment loss: US$25.5 million) 

• Loss before tax of US$3.8 million (30 June 2014 loss before tax: US$30.6 million) 

• Net asset value of US$50.7 million (31 December 2014: US$54.3 million)  

• Total other administrative expenses of US$2.5 million (30 June 2014: US$2.8 million) 

• Net asset value per share of US$0.14 as at 30 June 2015 (31 December 2014: US$0.16), equivalent to 9 pence (31 December 2014: 10 pence) 

• Closing net cash position of US$2.8 million as at 30 June 2015

For further information about Origo please visit www.origoplc.com or contact:

Chairman's Statement

We made initial progress during the first half of the year in delivering on a number of the objectives set out in the revised strategy approved by Origo's shareholders at the end of 2014.

In particular, we successfully reduced administrative costs during the Period following, amongst other things, the outsourcing of the management of the portfolio to Origo Advisors Limited group ("OAL") and the transfer of employees previously employed by the Group to OAL. In addition, Origo's loss before tax for the Period of US$3.8 million was significantly lower than that of the same period of 2014.

The Board, working with OAL, monitors the performance of the portfolio closely. The stabilisation of the portfolio's performance during the Period is encouraging. We continue to assess opportunities in conjunction with OAL to divest the portfolio in accordance with Origo's stated investing policy, as adopted in November 2014.

Following the Period end, the Isle of Man Court handed down judgment, in favour of the Company following proceedings in respect of a complaint first announced by the Company on 30 June 2014 (the "Judgement"). The Judgement confirmed that the Company's articles (the "Articles") bear the meaning propounded by the Company. The Company was pleased with this positive outcome to the Isle of Man proceedings.

Subsequent to the Judgement being handed down, and as announced by the Company on 14 July 2015, the Company was notified of a new complaint in relation to the construction of article 4.17 of the Articles, which primarily addresses a conversion mechanism relating to the Company's convertible zero dividend preference shares.

The Company has been working with holders of the convertible zero dividend preference shares to achieve a resolution which would be acceptable to all Origo shareholders. As announced by the Company on 29 September 2015, the Company is in the process of finalising a set of detailed proposals, which will be put to Origo's shareholders at an extraordinary general meeting as soon as is practicable.

Investment Consultant's Report

The fair value of the portfolio rose by approximately US$2.7 million during the Period, reflecting a generally more stable performance by Origo's investments compared to the end of 2014.

Nevertheless, the economic environment remains challenging. The continued downturn in commodities prices continues to weigh on asset values across the mining sector - impacting both the valuation of investments and prospects for disposal.

In addition, recent events in China have generated increasing concern over the health of its economy and a resulting worsening of investor sentiment towards the country. The volatility in equity markets impacts the ability of growth companies to seek financing and the appetite of investors for such assets.

Portfolio update

The majority of Origo's portfolio companies traded in line with expectations during the Period and as such there was no material change to their carrying values. Notable developments at China Rice Ltd ("China Rice"), Unipower Battery Ltd ("Unipower") Moly World Ltd ("Moly World") and Kincora Copper Ltd ("Kincora") are summarised below.

The value of Origo's equity holding in China Rice increased by US$6.4 million, to US$18.5 million, because of a re-rating of the company's peer group.

As previously announced, Unipower continues to be heavily impacted by tightening credit conditions for small and medium sized enterprises, limiting its ability to procure required working capital financing to sustain growth. This has resulted in a 20% reduction in the carrying value of this investment to US$9.6 million.

In addition, the value of Origo's stake in Moly World, the owner of a prospective molybdenum and tungsten project in Mongolia, has been written down by US$1.2 million to US$7.5 million as a result of the continued subdued outlook for the junior mining sector.

Kincora is continuing exploration activities at its wholly owned Bronze Fox deposit in Mongolia following positive results in 2014. With a view to enhancing Kincora shareholder value, the management team of Kincora is also assessing a range of corporate transactions that would not otherwise be available to Kincora at more favourable points in the commodity cycle.

Discussions with Kincora regarding the CAN$2.5 million convertible note held by Origo are ongoing.

Financial performance

The estimate of the fair value of Origo's portfolio rose from US$120.2 million at 31 December 2014 to US$122.9 million at the end of the Period.

The increase was principally due to the US$6.4 million increase in the carrying value of Origo's investment in China Rice, which was partially offset by reductions in the carrying values of the Company's investments in Unipower and Moly World.

Total other administrative expenses were reduced to US$2.5 million (30 June 2014: US$2.8 million).

Total investments in existing portfolio companies amounted to US$0.4 million during the Period.

The Company recorded a loss before tax of US$3.8 million for the Period, compared to a loss before tax of US$30.6 million during the corresponding period of 2014.

At the end of the Period, the Company had cash and cash equivalents of US$2.8 million, down from US$5.2 million at the end of 2014.

The Company reported net asset value of US$50.7 million as at 30 June 2015, representing a net asset value per share of US$0.14. This compares to US$54.3 million as at 31 December 2014 (US$0.16 per share). The decline in the net asset value was attributable to ongoing operating expenses and non-cash based charges relating to interest accrued (US$2.8 million) to the convertible zero-dividend preferred shares.

Outlook

Recent gyrations in Chinese stock markets have created headlines around the world, and intensified speculation of a "hard landing" in the country's economy. Whilst we continue to monitor developments very closely and assess the impact upon Origo's investments, the extent to which Chinese stock market performance reflects the underlying performance of the economy is not yet clear. Furthermore, the recent devaluation of the Chinese Yuan should stimulate the economy in the medium term whilst Chinese Government policy remains highly supportive of the clean-tech sector.

AUDITORS' INDEPENDENT REVIEW REPORT

Introduction

We have been engaged by Origo Partner Plc ("the Group") to review the set of financial statements in the interim financial report for the six months ended 30 June 2015 which comprises the interim consolidated statement of comprehensive income, the interim consolidated statement of financial position, the interim consolidated statement of changes in equity, the interim consolidated statement of cash flows, and the related notes 1 to 23. We have read the other information contained in the interim financial report and considered whether it contains any apparent misstatements or material inconsistencies with the information in the interim set of financial statements.

This report is made solely to the Group's members, as a body, in accordance with guidance contained in International Standard on Review Engagements 2410 (UK and Ireland) "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" ("ISRE 2410") issued by the Auditing Practices Board. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Group's members, for our work, for this report, or for the conclusions we have formed.

Directors' responsibilities

The interim financial report is the responsibility of, and has been approved by the Directors. The Directors are responsible for preparing the interim financial report in accordance with International Accounting Standard 34, "Interim Financial Reporting" ("IAS 34").

As disclosed in note 2.1, the interim financial statements of the Group are prepared in accordance with International Financial Reporting Standards issued by the Accounting Standards Board and adopted for the use in the European Union. The set of financial statements in the interim financial report has been prepared in accordance with IAS 34.

Our responsibility

Our responsibility is to express to the Group a conclusion on the set of financial statements in the interim financial report based on our review.

Scope of review

We conducted our review in accordance with ISRE 2410 (UK and Ireland) issued by the Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making enquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the set of financial statements in the interim financial report for the six months ended 30 June 2015 are not prepared, in all material respects, in accordance with IAS 34.

Ernst & Young LLC

Chartered Accountants

Isle of Man

29 September 2015

Interim Consolidated Statement of Comprehensive Income

For the six months ended 30 June 2015

The accompanying notes form an integral part of these financial statements.

Interim Consolidated Statement of Financial Position

As at 30 June 2015

The accompanying notes form an integral part of these financial statements.

Interim Consolidated Statement of Changes in Equity

For the six months ended 30 June 2015

Attributable to equity holders of the parent

Attributable to equity holders of the parent

The following describes the nature and purpose of each reserve within parent's equity:

The accompanying notes form an integral part of these financial statements.

Interim Consolidated Statement of Cash Flows

For the six months ended 30 June 2015

* FVTPL refers to fair value through profit or loss

The accompanying notes form an integral part of these financial statements.

Notes to the Interim Consolidate Financial Statements for the six months ended 30 June 2015

1 General information

Origo Partners Plc is a limited liability company incorporated and domiciled in the Isle of Man whose shares are publicly traded on the AIM market of the London Stock Exchange.

The Company and its subsidiaries are collectively referred to as the Group.

The principal activities of the Group are private equity investment, focused exclusively on growth opportunities created by the urbanization and industrialization of China and Mongolia. The Group's Investing Policy has now changed from that of a closed-ended, permanent capital vehicle to that of a realisation company with the mandate to return the net proceeds of realisations to shareholders.

These interim consolidated financial statements have been approved and authorised for issue by the Company's board of directors on 29 September 2015.

2 Basis of preparation and significant accounting policies

2.1 Basis of preparation

These interim consolidated financial statements have been prepared in accordance with International Accounting Standard 34 "Interim Financial Reporting".

These interim consolidated financial statements do not include all the information and disclosures required in the annual financial statements, and should be read in conjunction with the Group's annual financial statements for the year ended 31 December 2014.

2.2 Significant accounting policies

The accounting policies adopted in the preparation of the interim consolidated financial statements are consistent with those followed in the preparation of the Group's annual financial statements for the year ended 31 December 2014.

The following new and revised IFRSs did not have any impact on the accounting policies, financial position or performance of the Group:

IAS 19 Amendments to defined benefit plans

The Group has not early adopted any other standard, interpretation or amendment that was issued but is not yet effective.

3 Investment income/(loss)

4 Consulting services receivable/ (payable)

5 Performance incentive

A balance sheet provision for future performance incentive for the period ended 30 June 2015 was US$7,946,128 (31 December 2014: US$7,404,454). The performance incentives are accrued and payable to Origo Advisers Ltd refer to Note 22 for details on Origo Advisers Ltd.

The amount of performance incentives has been calculated and accrued in accordance with the basis: (i) from the time the Hurdle has been reached, the next US$1,700,000 of Gross Realisations shall be applied towards equal payments of performance incentives; and thereafter (ii) 20 per cent of each subsequent Gross Realisation shall be applied towards an equal further payment of performance incentive.

* Hurdle: US$90,000,000 of Gross Realisations

** Gross Realisation: cumulative gross cash proceeds received by or on behalf of the Group which are derived from the realisation of assets in the Portfolio, after having made full provision for repayment of any third party debt (including any unpaid interest thereon) and any related hedge or other break costs and any prepayment fees and penalties thereon, but before any related transactional costs, fees and expenses and any taxes required to be paid by the relevant selling entity that arise directly as a result of completion of the relevant transaction to dispose of the relevant asset, provided that any amounts of deferred consideration or earn-out shall not be counted towards such realisations until actually received by the relevant selling member of the Group.

6 Other administrative expenses

* Provision has been recognized only on receivables where it is considered there is a greater than 50% risk of failure.

7 Directors' remuneration

Directors' remuneration for the six months ended 30 June 2015 and number of options held were as follows:

Directors' remuneration for the six months ended 30 June 2014 and number of options held were as follows:

* Short term employee benefits

** Share-based payments refer to expenses arising from the Company's share option scheme (see note 21 for details).

*** Mr. Wang Chao Yong, Mr. Chris A Rynning, Mr. Christopher Jemmett and Mr. Tom Preststulen resigned as Directors of the Company on 16 February 2015. The remaining directors of the Company are Shonaid Jemmett-Page (Non-executive Chairman), Lionel de Saint-Exupery (Non-executive Director) and Niklas Ponnert (Executive Director).

8 Operating segment information

Operating segments are components of the entity whose results are regularly reviewed by the entity's chief operating decision-maker to make decisions about resources to be allocated to the segment and to assess its performance. The chief operating decision-maker for the Group is considered to be the Executive Director. The Group's operating segments has been defined based on the types of investments which was equity investment and debt instrument in 2015 and 2014.

For the six months ended 30 June 2015 (Unaudited)

The Group's geographical areas based on the location of investment assets (non-current assets), are defined primarily as China, Mongolia, Europe and South Africa as presented in the following table.

For the six months ended 30 June 2015 (Unaudited)

For the six months ended 30 June 2014 (Unaudited)

For the six months ended 30 June 2014 (Unaudited)

9 Finance income and costs

10 Income tax

No provision for current tax was made for the year as the subsidiaries had no assessable profit. As the Group is not in receipt of income from Manx land, property or retail activity and does not hold a Manx banking licence, it is taxed at the standard rate of zero per cent on the Isle of Man.

* The deferred income tax relates to net change in fair value gains/(losses) of Celadon Mining Ltd, China Rice Ltd, Unipower Battery Ltd, Shanghai Yi Rui Tech New Energy Technology Ltd and Niutech Energy Ltd, estimated in accordance with the relevant tax laws and regulations in the PRC based on a tax rate of 10 per cent.

11 Earnings per share

12 Investments in subsidiaries

The principal subsidiaries of the Company, all of which have been included in these consolidated financial statements are as follows:

* Owned by Origo Resource Partners Ltd

** Owned by Ascend Ventures Ltd

*** Struck off

13 Investments at fair value through profit or loss

As at 30 June 2015 (Unaudited)

As at 31 December 2014 (Audited)

* 2% equity stake in Rising Technology Corporation Ltd and 1.6% beneficial interest in Beijing Rising Information Technology Ltd, a company incorporated in the PRC, under a nominee agreement.

** Investments held partially by China Commodities Absolute Return Ltd ("CCF"), the funds managed by the Group.

*** A company focusing on cleantech sectors, jointly formed and co-managed by the Group and Niutech Energy Solution B.V.

As at 30 June 2015 the proportion of ownership interest held by CCF in investments is as follows:

In accordance with IFRS 7: Financial Instruments: Disclosures, financial instruments recognized at fair value are required to be analysed between those whose fair value is based on:

a) Quoted prices in active markets for identical assets or liabilities (Level 1);

b) Those involving inputs other than quoted prices included in level 1 that are observable for the asset or liability, either directly (as prices) or indirectly (derived from prices) (Level 2); and

c) Those with inputs for the asset or liability that are not based on observable market data (unobservable inputs) (Level 3).

In according with IFRS 13: For assets and liabilities that are recognized in the financial statements on a recurring basis, the Group determines whether transfers have occurred between Levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement at a whole) at the end of each reporting period. There have been no transfers between Levels during the period of first six months of 2015. In 2014, the transfer from level 3 to level 1 reflects the maturity of lock-up period of Kincora Copper Ltd on 18 July 2014.

Statement of changes in investments at fair value through profit or loss based on level 3:

The fair value increase on investments categorised within Level 3 of US$3,321,624 (2014: US$19,994,687), was recorded in the statement of comprehensive income.

Description of significant unobservable inputs to valuation:

as at 30 June 2015

as at 31 December 2014

Risk management activities

Fair value risk

The Group's financial assets are predominantly investments in unquoted companies, and the fair value of each investment depends upon a combination of market factors and the performance of the underlying asset. The Group do not hedge the market risk inherent in the portfolio but manage asset performance risk on an asset-specific basis by continuously monitoring each asset's performance and charging the change of each asset's fair value to the statement of comprehensive income as necessary.

Cash flow interest rate risk

The Group currently view interest rate risk as low since the fixed rate return from interest generating assets is not material in the context of the portfolio return as a whole and the Group's investments are financed mainly by shareholders' funds with investment needs being met ahead of planned investments.

Other risk management activities

As a result of its international activities, some of the Group's assets, liabilities, income and expenses are effectively denominated in currencies other than US Dollars (the Group's presentation currency). Fluctuations in the exchanges rates between these currencies and US Dollars will have an effect on the reported value of those items.

The Group have considered the possibility of further aggressive fluctuations in exchange rates, however, due to the level of assets and liabilities denominated in currencies other than US Dollars, the Group do not believe the potential foreign exchange fluctuations would have a material effect on the Group's financial statements.

Valuation techniques

The fair value of financial instruments traded in active markets (such as publicly traded securities) is based on quoted market prices at the reporting date. The quoted market price used for financial assets held by the Group is the current closing price.

The fair value of financial instruments that are not traded in an active market is determined by using valuation techniques. The Group has estimated the value of each of its unquoted equity instruments by using judgement to select the most appropriate valuation methodology for each investment based on the recommendations of the International Private Equity and Venture Capital Valuation Guidelines. Valuation methodologies mainly include the price of recent investments, multiples, discounted cash flows or earnings, industry valuation benchmarks, available market prices and so on, which may apply individually or in combination. Key assumptions and judgements of each methodology concerning the future and other key sources of estimation uncertainty will have a significant risk of causing a material adjustment to the fair value of the instruments within the next reporting period.

Inputs applied in the valuation methodologies are sensitive to assumptions made when ascertaining fair value of financial assets. A reasonable alternative assumption would be to apply a standard marketability discount of 25% for all unquoted financial instruments rather than the specific approach adopted. This would have a positive impact on the portfolio of US$2,453,113 or 2.03% of total unquoted financial instruments.

14 Loans

The Group has entered into convertible credit agreements and has the right to convert the outstanding principal balance of relevant loans into borrower's shares according to certain conversion conditions, and loan agreements with certain investee companies as set forth in the table below.

As at 30 June 2015 (Unaudited)

* Loans in relation to convertible credit agreements are measured at fair value, which is estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. Loans in relation to loan agreements are measured at amortised cost using the effective interest rate method less any identified impairment losses. The carrying value of loans in relation to loan agreements is a reasonable approximation of fair value. There are no breaches under the terms and conditions of loan agreements.