Dear Shareholder

In this extraordinary time it is necessary for me to write to you to confirm that the London Asia Capital office is closed and that all communication can only be undertaken at this time by email.

Most of you will know that the Company’s only real asset is a 20% investment in Zhongying, a company in Wuhan, which is in Hubei province. This is part of the Kaidi Group whose restructure had been agreed with the government during the course of last year and was due to be completed in March of 2020.

In the meantime your Chief Executive Paul Bobroff and myself met with the Chairman Yilong Chen in December 2019 and received assurances about the future business and the wish to use London Asia Capital for future non-Chinese operations. However, everything in China has been closed since January and the business in Wuhan is still not fully open for operations. It is impossible at this time to judge with any authority the value of our investment, but I am sure this will become clearer in the months ahead.

The AGM planned for June will no longer take place and we will write to you further on this in due course.

In the meantime, I wish you all safe passage in your lives during this lockdown period. Please stay safe.

Yours sincerely

David Buchler
Chairman
London Asia Capital plc