Mr. Robert Archer reports

GREAT PANTHER SILVER INCREASES PREVIOUSLY ANNOUNCED BOUGHT DEAL FINANCING TO US$26 MILLION

Due to increased demand, Great Panther Silver Ltd. has entered into an amended and restated underwriting agreement dated July 6, 2016, with Cantor Fitzgerald Canada Corp., 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 increase the size of its previously announced bought deal offering of units to $26-million (U.S.). The underwriters have agreed to purchase, on a bought deal basis, 16.25 million units at a price of $1.60 (U.S.) per unit. As previously announced, 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.

Under the amended and restated underwriting agreement, 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 2,437,500 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 up to $3.9-million (U.S.). In the event the overallotment option is exercised in full, the aggregate gross proceeds to the company will be $29.9-million (U.S.).

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, dated Oct. 14, 2014, and U.S. registration statement on Form F-10 (file No. 333-199119), 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 U.S. Securities and Exchange Commission. The Canadian prospectus supplement (together with the related base-shelf prospectus) is available on the SEDAR website maintained by the Canadian Securities Administrators at SEDAR. The U.S. prospectus supplement (together with the related registration statement) is available on the SEC's 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, 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.