Mr. Robert Archer reports

GREAT PANTHER SILVER ARRANGES US$20 MILLION BOUGHT DEAL FINANCING

Great Panther Silver Ltd. has entered into an underwriting agreement dated July 6, 2016, with Cantor Fitzgerald Canada Corp. and Rodman & Renshaw, a unit of H.C. Wainwright & Co. LLC, as joint bookrunners, and Euro Pacific Capital Inc. and Sprott Private Wealth LP, as co-managers, to purchase, on a bought deal basis, 12.5 million units of the company at the price of $1.60 (U.S.) per unit for aggregate gross proceeds of $20-million (U.S.). Each unit consists of one common share in the capital of Great Panther and one-half of one common share purchase warrant. Each warrant entitles the holder thereof to purchase one share at the exercise price of $2.25 (U.S.) per share for a period of 18 months after the closing of the offering.

In addition, the company has granted to the underwriters an overallotment option, exercisable, in whole or in part, in the sole discretion of the underwriters to purchase up to an additional 1,875,000 units at the issue price per unit, for a period of up to 30 days after the closing of the offering, for additional aggregate proceeds to the company of approximately $3-million (U.S.). In the event the overallotment option is exercised in full, the aggregate gross proceeds to the company will be $23-million (U.S.).

The company has agreed to pay the underwriters a cash commission equal to 6 per cent of the gross proceeds of the offering, including proceeds received from the exercise of the overallotment option.

The offering will be made by way of a prospectus supplement dated July 6, 2016, to the company's existing Canadian short form base shelf prospectus and U.S. registration statement on Form F-10 (file No. 333-199119), each effective as of Oct. 20, 2014. The prospectus supplement has been filed with the securities commissions in each of the provinces of Canada (other than Quebec) and the United States Securities and Exchange Commission. The Canadian prospectus supplement (together with the related base shelf prospectus) is available on SEDAR, which is maintained by the Canadian Securities Administrators. The U.S. prospectus supplement (together with the related registration statement) is available on the SEC website. Before you invest, you should read the prospectus in the registration statement and other documents the company has filed with the SEC for more complete information about the company and the offering. Alternatively, the company, any underwriter or any dealer participating in the offering will arrange to send you the prospectus, as supplemented, if you request it by contacting Cantor Fitzgerald Canada Corp., attention -- Equity Capital Markets, 181 University Ave., suite 1500, Toronto, Ont., M5H 3M7, e-mail -- ecmcanada@cantor.com, or H.C. Wainwright & Co. LLC, 430 Park Ave., New York, N.Y., 10022, e-mail -- placements@hcwco.com.

Closing of the offering is expected to occur on July 12, 2016, subject to customary closing conditions. The company intends to use the net proceeds of the offering, if any, together with the company's current cash resources, to finance operating, development and exploration expenditures at its mining operations and projects, for possible future acquisitions, and for general corporate and working capital purposes.

We seek Safe Harbor.