Further Corporate Mandates

RNS Number:7627L
London Asia Capital PLC
3 May 2005


For immediate release: 3 May 2005


                        LONDON ASIA CONTINUES TO EXPAND
                         NEW CORPORATE MANDATES SECURED

London Asia Capital PLC ("London Asia" or "the Company"), the Greater China
focused investment and merchant banking group, has been appointed corporate
finance adviser to coal mining group Jiangsu Xuzhou Tianneng Group ("Tianneng")
and Hubei Pharmaceutical Co. Ltd. ("Hubei Pharma").

Tianneng is a coal mine company currently 100% held by Xuzhou Local Government,
Jiangsu Province, with exploitable coal deposits of around 50 million tons,
detected coal deposits of some 130 million tons and forecasted coal deposits of
more than 200 million tons. London Asia is working together with Golden Concord
Holdings Limited ("GCHL"), a specialist investment holding company focusing on
investment in companies and projects in clean energy, power generation and
environment protection, to reform and restructure Tianneng.

GCHL will acquire the coal deposit as well as the associated operating assets of
Tianneng to form a foreign invested coal mine company. London Asia has been
appointed as the exclusive corporate finance advisor to the project and will
provide Corporate Finance and project finance advisory services. London Asia
also intends to raise money for the project from international markets with a
view to ultimately bringing the business to IPO or trade sale.

Hubei Pharma is a new company set up as part of the restructuring of Hubei
Zhongtian Airbeck Pharmaceutical ("Airbeck"), a long established Chinese
pharmaceutical business, part owned by Hubei Province. London Asia has been
appointed to restructure the business, including disposing of certain divisions
in order to focus the business; to raise new capital from overseas investors;
and acquire new technologies to help the business expand.

Under the terms of the appointments, London Asia will receive both success based
fees and preferential investment terms.

Simon Littlewood, London Asia Chief Executive, commented: "We continue to build
on our advisory activities in China, which generate revenue and investment
opportunities for us. The diversity of the mandates we are currently winning
underscores the appetite for professional corporate finance advice across
China's central provinces. Tianneng is the third mandate we have recently won in
the resource and energy fields and also means we are now active in the important
Jiangsu province."

For further information please visit www.londonasia.com or contact:

Simon Littlewood, Chief Executive  Jeremy Wright       Jeremy Carey
London Asia Capital                Seymour Pierce      Tavistock Communications
Tel: [phone]                 Tel: [phone]  Tel: [phone]


Notes to Editors

About London Asia Capital plc

London Asia is an AIM listed investment and merchant banking group focused on
the SME market in Greater China. London Asia operates three principal
businesses:

   * Investment of own funds in profitable businesses in Greater China, with
     exits via IPO or trade sale;
   * Investment Banking services, mainly corporate finance advisory (fund
     raisings, IPO's, M&A and restructurings); and
   * Fund management

London Asia has offices and management teams, as well as strong local partners,
across the Greater China region. These work in conjunction with our
international network in London, New York, Hong Kong and Singapore.

About Xuzhou, Jiangsu Province

Xuzhou, a city under the jurisdiction of Jiangsu Province and located at the
junction of the four provinces of Jiangsu, Shandong, Henan and Anhui, lies at
the joint part of the Yangtze River Delta and the Pan-Bohai Sea Gulf. It is the
central city of the Huaihai Economic Zone radiating to the surrounding 18 cities
with a population of 120 million. Xuzhou is a booming industrial city with a
population of over 9 million.

Xuzhou is an important national industrial base for energy, engineering,
machinery, foodstuff, electronics, chemicals and construction materials. Xuzhou
has 140 large and medium key enterprises of state-class, 5 of which have been
listed into China's 500 strongest enterprises.

Xuzhou has made outstanding economic achievements in its effort to open to the
outside world. By the end of 2000, the number of foreign invested companies had
reached 1,300.


                      This information is provided by RNS
            The company news service from the London Stock Exchange
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