Opens its first flagship retail store in China

VMOTO OPENS ITS FIRST

FLAGSHIP RETAIL STORE IN CHINA

announcement 26 JUNE 2013

Vmoto Limited ("Vmoto" or "the Company") is pleased to announce that it has officially opened its first Chinese flagship retail store in Lishui District, Nanjing. The totally renovated Vmoto flagship retail store covers 260 m2 and occupies a prime location in proximity to the busiest shopping street in Lishui District, Nanjing. As at the end of 2012, Nanjing has a residential population of over 8 million.

George Hou, Vmoto's General Manager, commented: "The opening of Vmoto new flagship retail store will give customers a direct buying opportunity where they can test ride, touch and feel Vmoto's electric two wheel vehicles. Vmoto's new flagship retail store also is a one-stop shop as it offers a wide range of Vmoto electric two wheel vehicle products that can meet the different requirements and budgets of customers, and supply parts and accessories and provide requisite after sales services."

As announced on 4 June 2013, Vmoto has officially launched the first batch of six new models of electric two wheel vehicles in China, which have been developed to specifically target the Chinese market. These new models of electric two wheel vehicles will be available for sale in Vmoto's new flagship retail store. Judging by interest shown in the short time since the launch, the Company estimates that it will sell over 10,000 units of these new models for the remainder of 2013 in addition to the 42,000 units of PowerEagle electric scooters through its flagship retail store and direct distribution to distributors and dealers.

Vmoto is continuously developing new products to appeal to a broad customer base and is actively seeking opportunities to obtain a stronger foothold in China. In the past ten years, China has been the largest electric two wheel vehicle market in the world, making up the majority of all global electric two wheel vehicle sales. In 2012, the annual sales of electric two wheel vehicles in China reached 30 million units and it is estimated the annual sales will increase to 40 million units in 2015 (Source: 2012-2015 China Electric Two Wheel Vehicle Industry Research Report, published 13 November 2012).

Charles Chen, Vmoto's Managing Director, commented: "The opening of Vmoto's new flagship retail store in China is a key milestone for the Company We continue to consider further expansion including opening more retail stores and additional co-operation agreements with existing manufacturers and enterprises."

AUTHORISED BY:

Charles Chen

Managing Director

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About Vmoto

Vmoto is a global scooter manufacturing and distribution group and is listed on the Australian Securities Exchange (ASX) and on the AIM market of the London Stock Exchange. The Company specialises in high quality "green" electric powered two wheel vehicles and manufactures a range of western designed electric (and some petrol) two wheel vehicles from its low cost manufacturing facilities in Nanjing, China, marketed in Europe through its operation in Bremen, Germany and marketed outside Europe through its operations in Australia. Vmoto combines low cost Chinese manufacturing capabilities with European design. The group operates through two primary brands: Vmoto (aimed at the value market in Asia) and E-Max (targeting the Western markets, with a premium end product). As well as operating under its own brands, the Company also sells to a number of customers on an original equipment manufacturer ("OEM") basis.