Half Yearly Report

TEMBUSU INVESTMENTS LIMITED

('Tembusu' or the 'Company')

UNAUDITED HALF-YEARLY REPORT FOR THE SIX MONTHS ENDED 30 JUNE 2010

28 September 2010

CHAIRMAN'S STATEMENT

As at 30 June 2010 the Company had cash balances of £1,027,193(31 December 2009: £1,096,141).

The Company has sought to guard its cash resources in difficult prevailing economic climate, whilst continuing to evaluate potential investments and transactions.

With the ongoing recovery in the economic cycle, we remain cautiously confident that the opportunities available to, and prospects for, Tembusu can continue to improve for the remainder of 2010 and into 2011.

Investing Policy

The Company's Investing Policy is to focus on identifying and acquiring quoted and unquoted financial services businesses based in Asia, though other geographical areas will be considered should appropriate opportunities occur which could benefit the Company. By actively investing in businesses with complementary areas of expertise, which may for example include real estate, mortgage financing and other such activities, the Directors believe that it is possible to generate considerable opportunities for the cross selling of services between the different operations and countries. The Directors also intend to continue to make minority investments in such financial services businesses where it would be a passive investor but where those investments provide the opportunity for enhancing the growth prospects of the Company. 

In regard to the acquisitions that the Company expects to make, the Directors may adopt earn-out structures, with specific performance targets being set for the sellers of the businesses acquired, and with suitable metrics applied.

The Company may invest by way of outright acquisition or by the acquisition of assets, including the intellectual property, of a relevant business, partnerships or joint venture arrangements. Such investments may result in the Company acquiring the whole or part of a company (which in the case of an investment in a company may be private or listed on a stock exchange, and which may be pre-revenue), and such investments may constitute a minority stake in the company or project in question. The Company's investments may take the form of equity, joint venture debt, convertible instruments, licence rights, or other financial instruments as the Directors deem appropriate.

The Company will be both an active and a passive investor and the Directors will place no minimum or maximum limit on the length of time that any investment may be held.

There is no limit to the number of projects into which the Company may invest, nor the proportion of the Company's gross assets that any investment may represent at any time and the Company will consider possible opportunities anywhere in the world.

There are no borrowing limits in the Articles of Association of the Company. The Directors do not intend to acquire any cross-holdings in other corporate entities that have an interest in the ordinary shares.

There are no restrictions in the type of investment that the Company might make nor on the type of opportunity that may be considered other than set out in this Investing Policy.

As the Company's ordinary shares are traded on AIM this provides a facility for shareholders to realise their investment in the Company. In addition, the Directors may consider from time to time other means of facilitating returns to shareholders including dividends, share repurchases, demergers, schemes of arrangement or liquidation.

Jonathan Rowland

Chairman

For further information, contact:

Tembusu Investments Limited

Jonathan Rowland, Chairman Tel: + 44 (0)20 7087 7971

Yun Zhang, Director Tel: + 65 6533 2233

Mirza Yahya, Non-Executive Director Tel: + 1 416 9640728

Religare Capital Markets Tel: + 44 (0)20 7444 0800

Nick Harriss

Ben Jeynes

The Company's loss arises from continuing operations.

There were no recognised gains or losses other than those recognised in the income statements.

NOTES TO THE HALF-YEARLY REPORT

1 The Company was incorporated in Bermuda on 21 March 2007 and was admittedto the AIM market of the London Stock Exchange ('AIM') on 11 May 2007, when it commenced its business. This half-yearly report has been prepared in accordance with International Financial Reporting Standards and on the historical cost basis, using generally recognised accounting principles and using the accounting policies which are consistent with those set out in the Company's Annual Report and Accounts for the year ended 31 December 2009.

The half-yearly report for the six months to 30 June 2010, which complies with IAS34, was approved by the Board on 27 September 2010.

2 The Directors do not recommend the payment of a dividend.

3 The basic and diluted earnings per share are based on the loss for the financial period of £178,407 (30 June 2009: -£485,641; 31 December 2009: -£333,679) and the following weighted average number of shares in issue during the period ended 30 June 2010:

basic and diluted: 60,000,000 (30 June 2009: 60,000,000; 31 December 2009: 60,000,000)

4 Reconciliation of operating loss to net cash inflow from operating activities

5 Cashflow from investing activities

6 The issued share capital as at 30 June 2010 and 31 December 2009 was 60,000,000 ordinary shares of 1p each.

7 The preceding unaudited results for the period ended 30 June 2010 do not constitute statutory accounts under the Bermuda Act 1981. The comparative figures for the year ended 31 December 2009 are extracted from the statutory financial statements, which contain an unqualified report.

8 The half-yearly report is available from the Company's website (www.tembusuinvestments.com).