Funding update

LED International Holdings Limited

("LED" or the "Company")

Issue of convertible loan notes and placing of new ordinary shares

The board of LED (the "Board") wishes to provide an update to shareholders in relation to the issue of convertible loan notes and placing of new ordinary shares, further details of which are set out in LED's announcement of 31 March 2014 (the "Fundraising").

LED had originally expected to receive the funds pursuant to the Fundraising by the end of April 2014 but, after discussions with the investors, details of whom are set out in LED's announcement of 31 March 2014, LED has been informed that RMB30m of the total RMB100m will be transferred to LED in the coming few days with the balance to be transferred by mid-May 2014.

Further announcements will be made at the appropriate time.

For further information:

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

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