Led International Holdings Regulatory News (LED)

5 December 2014

LED International Holdings Limited

(¡§LED¡¨ or the ¡§Company¡¨)

New EMC contract secured

Update on leasing finance company

New EMC contract secured

The board of directors of LED is pleased to announce that the Company¡¦s indirect subsidiary, Shenzhen Green Pearl Energy Management Services Co., Ltd. ("GPEMCO"), has been awarded an energy management contract (the "EMC Contract") by Tianjin Tian Gang United Special Steels Co., Ltd. ("TG United"), a subsidiary of Tianjin Iron & Steel Group Co., Ltd., based in Tianjin, China. The projected revenue under the EMC Contract to GPEMCO is approximately RMB1,830,000.00 (approximately £190,000.00) over a six year period.

Under the EMC Contract, GPEMCO will fit out one of TG United's manufacturing facilities with its energy-saving solutions. Specifically, GPEMCO will incorporate reactance filtering equipment into TG United¡¦s existing power consumption systems which are based on traditional power generation equipment. It is expected that the new energy-saving solutions introduced by GPEMCO will bring about energy cost savings in the region of 10% to TG United.

GPEMCO will bear all the upfront costs associated with the supply and installation of the equipment at TG United¡¦s premises and will then recoup these costs by way of monthly instalments payable by TG United, based on, inter alia, the level of monthly energy cost savings achieved.

Stephen Chan, Chief Executive Officer of LED, commented: "We are extremely pleased to be able to announce this new EMC contract which will add to the recurring revenues we are already receiving under our other EMC contracts."

Update on leasing finance company

The board of directors of the Company is also pleased to announce an update in relation to the required capital contribution to be made to its leasing finance company, Green Pearl Leasing (China) Company Limited in an amount of USD2,691,900 (equivalent to RMB16,535,803.32, or approximately GBP1,700,000.00) (the "Contribution"), further details of which were announced on 21 June 2013 and 18 November 2013. An independent certified public accounting firm in China has confirmed that the Company has made the Contribution as required.

Further announcements in relation to further capital contribution will be made at the appropriate time.

**Ends**

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Notes to Editors:

LED International Holdings Limited and its subsidiaries specialize in the provision of EMC contracts under which the Group installs energy saving products in its customers¡¦ premises, including lighting and reactance filtering equipment supplied by the Group, and the subsequent savings made by the customers in their electricity charges are then shared between the Group and the customers thereby enabling the Group to generate recurring revenue rather than one-off sales revenue. Historically, the Group¡¦s business has been the development, manufacture and sale of low-powered light-emitting diode (¡§LED¡¨) display screens and modules.

Under EMC contracts, the Group provides energy efficiency solutions, including LED lighting, reactance filtering energy saving and other energy efficiency solutions.Specifically, the Group overhauls its customers¡¦ existing lighting and power consumption systems (which are based on traditional lighting technology and power generation equipment) with proprietary LED lighting products, reactance filtering equipment and other solutions provided by the Group. These energy efficiency products are installed in customers¡¦ premises. The Group bears all the upfront costs associated with the supply and installation of the energy efficiency solutions and these costs are then recouped by sharing in the monthly energy savings generated by the customers¡¦ use of the energy efficiency solutions over the period of the contracts. The Group receives revenue from customers on several different payment terms including on a pre-payment, monthly or quarterly basis.

For more information, please visit: http://www.led-intl.com