Digital China's TDR Issue Approved by Taiwan Central Bank, Taiwan Stock Exchange and Taiwan Financial Supervisory Commission

HONG KONG, Nov. 9, 2010 /PRNewswire-Asia/ -- Digital China Holdings Limited ("Digital China" or "the Group"; stock code: 00861.HK), the largest integrated IT services provider in the Greater China area, today announces that the TDR Issue has been approved by the Taiwan Central Bank, the Taiwan Stock Exchange and the Taiwan Financial Supervisory Commission. As all the approvals needed have been received, the TDR Issue will be launched in the Taiwan market on November 24.

The Company expects the TDR issue to involve not more than 140,000,000 units. Each TDR unit will comprise 0.5 shares of the Company, so no more than 70,000,000 new ordinary shares will be issued, representing 6.86% of the shares in issue. Another 120,000,000 units of TDR will be offered with ordinary shares underlying, comprising 60,000,000 ordinary shares, representing 5.88% of the shares in issue.

Mr. Guo Wei, Chairman and CEO of Digital China, commented, "We are very pleased to receive all the approvals needed for the TDR issue just before the tenth anniversary of our listing in Hong Kong. This not only reflects upon our strength and value to the investment community in Taiwan, but also marks a milestone for our corporate development. The proceeds raised from the TDR issue will further enhance our financial position and provide additional funding resources for our strategic business development. We will continue promoting the 'Sm@rt City' project to strengthen our profitability and to deliver better returns to investors both in Hong Kong and Taiwan."

About Digital China

Digital China Holdings Limited ("Digital China" or the "Group"; Stock Code:00861.HK) is the largest integrated IT services provider in the Greater China area. Digital China has regional centers in 19 major cities nationwide with approximately 9,700 employees. The Group provides customers with comprehensive IT products and services, driving technological innovations for work and life and enhancing the digitalization process in China with four core businesses: IT Services, Enterprise Systems, IT Products Distribution and Supply Chain Services. The Group has maintained its No.1 position in IT product distribution while it has increasingly focused on expanding into IT services and is one of the top 5 IT services providers across various sectors in China including telecommunications, finance and government, providing self-developed and proprietary products that are customized for specific industry needs. For additional information about Digital China, please visit the Company's website at www.digitalchina.com.hk.

SOURCE Digital China Holdings Limited