Launch Tech Company Limited — Capital/Financing Update 2015

Dec 29, 2015

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This announcement is for information purpose only and does not constitute an invitation or offer to sell, dispose, acquire, purchase, take up or subscribe for any securities of the Company.

深圳市元征科技股份有限公司 LAUNCH TECH COMPANY LIMITED[*]

(a joint stock limited company incorporated in the People’s Republic of China with limited liability) (Stock code: 2488)

COMPLETION OF PLACING OF NEW H SHARES UNDER GENERAL MANDATE

Placing Agent

The Board is pleased to announce that all the conditions of the Placing have been fulfilled and completion of the Placing took place on 29 December 2015. An aggregate of 27,360,000 Placing Shares have been successfully placed by the Placing Agent to not less than six Placees at the Placing Price of HK$9.57 per Placing Share pursuant to the terms and conditions of the Placing Agreement.

Reference is made to the announcement of Launch Tech Company Limited (the “ Company ”) dated 17 December 2015 in respect of the Placing (the “ Announcement ”). Unless otherwise defined, capitalised terms used herein shall have the same meanings as those defined in the Announcement.

COMPLETION OF THE PLACING

The Board is pleased to announce that all the conditions of the Placing have been fulfilled and completion of the Placing took place on 29 December 2015. An aggregate of 27,360,000 Placing Shares have been successfully placed by the Placing Agent to not less than six Placees at the Placing Price of HK$9.57 per Placing Share pursuant to the terms and conditions of the Placing Agreement.

To the best of the Directors’ knowledge, information and belief, having made all reasonable enquiries, the Placees and their ultimate beneficial owners are Independent Third Parties and that none of the Placees has become a substantial shareholder (as defined in the Listing Rules) immediately after completion of the Placing.

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The net proceeds from the Placing, after deducting the placing commission and other expenses in connection with the Placing from the gross proceeds, are approximately HK$256.6 million, of which approximately 60% will be used for development of internet of vehicles business, approximately 30% will be used for development of smart devices and vehicles cloud platforms, and the remaining 10% will be used as general working capital of the Company.

EFFECT OF THE PLACING ON THE SHAREHOLDING STRUCTURE

As a result of the allotment and issue of the Placing Shares, the total number of issued Shares has increased from 301,800,000 Shares to 329,160,000 Shares, and the total number of issued H Shares has increased from 136,800,000 H Shares to 164,160,000 H Shares. The number of Domestic Shares remains unchanged at 165,000,000 Domestic Shares.

The 27,360,000 Placing Shares represent approximately 16.67% of the number of H Shares as enlarged by the allotment and issue of the Placing Shares.

The shareholding structure of the Company immediately before the completion of the Placing and immediately after the completion of the Placing are as follows:

Name of ShareholderDomestic SharesLiu XinShenzhen Langqu TechnologyDevelopment Ltd. Co.*(深圳市浪曲科技開發有限公司)Other Domestic ShareholdersH SharesPublic ShareholdersTotal	Immediately beforethe PlacingNo. of SharesApproximate% of issuedShares66,000,00021.8749,432,00016.3849,568,00016.42136,800,00045.33301,800,000100	Immediately Afterthe PlacingNo. of SharesApproximate% of issuedShares66,000,00020.0549,432,00015.0249,568,00015.06164,160,00049.87329,160,000100%

Note:

1. The percentages are subject to rounding difference, if any.

By order of the Board

Launch Tech Company Limited * Liu Xin Chairman

Shenzhen, the PRC, 29 December 2015

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As at the date of this announcement, the board of directors of the Company comprises Mr. Liu Xin (Chairman), Mr. Liu Jun, Ms. Huang Zhao Huan and Mr. Jiang Shiwen as executive Directors, Ms. Liu Yong as non-executive Director, and Mr. Liu Yuan, Ms. Zhang Yan and Mr. Ning Bo as independent non-executive Directors.

• for identification purposes only

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