Leasing finance company update

LED International Holdings Limited

("LED" or the "Company")

Update in relation to the leasing finance company

LED announces that, following its announcement on 21 June 2013 of the formation of a leasing finance company, Green Pearl Leasing (China) Company Limited ("Green Pearl"), LED has yet to contribute the required amount to Green Pearl's registered capital, which was required to be contributed in US$ (approximately £2 million), by today. LED has applied to the Shanghai Municipal Commission of Commerce for an extension to this deadline and further announcements will be made at the appropriate time. There can be no guarantee as to whether this extension will in fact be granted.

Further details on the background to the leasing finance company are contained in LED's announcement on 21 June 2013.

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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