Final Land Use Right payment made

China Chaintek United Co., Ltd

("ChainTek" or the "Company")

Final Land Use Right payment made

As previously outlined in the Company's Interim Results on 26 September 2013, China Chaintek United Co., Ltd (AIM: CTEK), the provider of logistics services to manufacturers of consumer goods in China, is pleased to announce today that, following discussions with the local government, the Company has now made its final payment in respect of the Land Use Rights ("LUR") for its planned logistics park. The payment of RMB54.6 million, which was for the final 20 per cent. of total fees, was made by the Company on 25 December 2013. Like previous payments made by the Company in relation to the LUR for the planned logistics park, this payment has been made from the Company's existing cash balances.

As announced on 19 March 2013, Chaintek intends to build a logistics park which will be located on a 145,600m2 plot of land in an industrial zone in Jinjiang 14km from the Group's existing operational headquarters, and which already houses a number of ChainTek's existing key manufacturer customers. The consideration payable for the LUR was RMB 221.0 million (approximately GBP 22.1 million), in addition to the RMB 52.0 million deposit paid in 2011, and was payable in three tranches. The initial payment of RMB 81.9 million (approximately GBP 8.19 million), which was the final condition required for completion of the acquisition, was made on 18 March 2013, with the second payment of RMB 84.5 million (approximately GBP 8.45 million) being paid on 6 April 2013.

Commenting on the final LUR payment, Mrs Xu Meijin, Chief Executive Officer of ChainTek, said: "We are very pleased to announce the final Land Use Right payment on the planned logistics park and can now confirm that the acquisition of the site is now complete paving the way for construction to start by H2 2014. The Company looks forward to making a further update on the logistics park at the time of our pre-close trading statement which will be issued in late January 2014."

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