ADAM.L Regulatory News (ADAM)

15 October 2012

China Private Equity Investment Holdings Limited (AIM: CPEH)

("CPE" or the "Company")

Restructuring of Investment in Enfinium

China Private Equity Investments Holdings Limited (AIM: CPEH) announces that, on 12 October 2012, it entered into an agreement with AIP Global Holdings Limited ("AIP Global") pursuant to which CPE sold its 24 per cent. interest in Enfinium International Holdings Limited ("Enfinium") to AIP Global. The Company will receive 127,000 shares in AIP Global, which will represent 2.45 per cent. of the issued share capital AIP Global. AIP Global acquired a majority interest in Enfinium in March 2012.

AIP Global is a Hong Kong based investment holding company with targeted investments in the financial services sector with a focus on Margin Foreign Exchange, Securities and Derivatives across major Asian and European markets. It was established by Alternative Investment Partners ("AIP"), a full service global investment banking and securities firm established in 2002, headquartered in Tokyo, Japan. As well as its interest in Enfinium, AIP Global has a controlling interest in GO Markets Pty Ltd, a leading online financial services business headquartered in Melbourne, Australia, specialising in online foreign exchange trading to retail investors as a "straight through processing" provider.

As set out in the financial results for the year ended 31 December 2011, CPE adopted the recent investment methodology prescribed in the International Private Equity and Venture Capital Valuation ("IPEVCV") guidelines to value its investments at fair value through profit or loss. CPE's investment in Enfinium was valued at US$4.34 million in the consolidated annual accounts for the year ended 31 December 2011. This remained unchanged as at 30 June 2012.

Following the conclusion of negotiations with AIP Global, the board of directors of CPE (the "Board") has evaluated the carrying cost of the 127,000 shares in AIP Global. The Board has concluded that it should take a prudent view of the carrying value of this investment. Consequently, the Board has determined to take a further write down of US$3.34 million from the latest carrying value of the Enfinium investment. This will result in an adjusted NAV per share of US$0.39 (on a pro forma basis) compared to an NAV per share of US$0.43 reported as at 30 June 2012.

CPE Chief Executive, John Croft, said: "This deal exchanges our holding in a subsidiary company for a direct stake in the parent group, exposing CPE to the wider growth opportunities of the global AIP businesses, even though it has at this stage resulted in a write down of our original investment. We have taken the view that over the longer term we have positioned ourselves more advantageously."

The Board intends to hold the shares in AIP Global but it will monitor the performance of the investment in line with its investing policy.

For further information, please visit www.cpe-invest.com or contact: