【Press release - For immediate release】

AV Concept Holdings Limited

(HKEX：595)

Announced Acquisition of Koocell up to 100% Eyeing on the Markets of Smartphone Games and Mobile Game Publishing Platform (Hong Kong, 5 March 2014) AV Concept Holdings Limited ("AV Concept" or the "Group"; stock code:595) announces the 100% acquisition of the mobile application and game developer, Koocell which was owned as to 51% by the Group, for a consideration of HK$39,000,000 paid by cash from internal resources of the Group.

Koocell, a company incorporated in Hong Kong, is a mobile phone application program and game developer. The mobile applications launched by Koocell such as "Tales of
Three Kingdoms" (三國異誌) and "Free4u" are successful in Taiwan and Hong Kong and
the growth of its users are remarkable, having achieved a total of 800,000 users during the past few months. Thus, the Group is confident in Koocell's ability to design and develop innovative and efficient smartphone game programs and unique market reach and therefore decides to fully acquire Koocell.
The Group will support Koocell in the marketing and sale of smartphone game application and mobile phone application programs in the Greater China region using the network of the Group in the Greater China region. The Group start to negotiate with AV Concept's semi-conductors customers to pre-install Koocell's games and apps into their smartphones products with an aim capture to enormous mid-to-low-end smartphone segment. The group believes that it will provide a bright prospect to Koocell.
In March 2014, Koocell plans to develop a new smartphone game named "GGO Football"
which is created based on an animation cartoon series "GGO Football"《超智能足球》, a
motivating story about football and future technology. It has been broadcasted in over 10 countries and translated into in different local languages such as Mandarin, English and Spanish. This animation cartoon has received overwhelming welcome in China and swiftly became the top 10 highest rated animation cartoon series in China with over 1
billion audience. The content of this game will be launched next.

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AV Concept Holdings Limited

Press Release

5 March 2014

Mr. Billy So, Chief Executive Officer of AV Concept, said, "After a long period of corporation with Koocell, we are satisfied with their smartphone game and mobile application development. In order to speeding up the growth in this area, and giving a great confidence to Koocell team, the group decided to increase the interests in Koocell to 100%. Looking forward, we aim to bring Koocell into the huge smartphone games and mobile applications market by launching more of their creation in the Greater China market in order to search for better return for our shareholders".

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About AV Concept Holdings Limited (Stock Code: 595)

AV Concept Holdings Limited, a fast-growing electronics group listed on the Stock Exchange of Hong Kong, is engaged in sale and distribution of electronic components as well as design, manufacturing and sale of electronic products. Its wholly-owned subsidiary AV Concept Limited, which purchases from suppliers including Samsung Electronics, is one of Asia's leading electronic component distributors. In addition, as a one-stop service provider, AV Concept Limited has strong capability and expertise in sourcing various application development kits and electronic components to cater for customer needs. Headquartered in Hong Kong, it has established sales offices in Shenzhen, Shanghai, Beijing, Singapore, Philippines, Indonesia and India, extending the Group's well-established distribution network and strong sales team to China and Southeast Asia. In January 2011, the Group launched the SOUL® headphone series globally, a new top-end brand which is marketed in the United States, European Union, Greater China, South Korea, Japan, Southeast Asia, Russia and Australia.

Visit AV Concept at www.avconcept.com

About Koocell

Koocell Limited, an innovative mobile gaming company that mobile games publishing platform, dedicated to developing popular mobile applications and mobile games, and to provide the best experience for our users. Currently, they have launched apps namely, "Free4U". Koocell have a fast-growing mobile user base in Chinese speaking countries on platforms like Facebook, QZone, iPhone, Android, etc. With the mission of bringing joy and happiness to users, Koocell are actively growing in many horizons.

Visit Koocell at http://www.koocell.com

For media inquiries, please feel free to contact LBS Communications Consulting Limited

Joanne Chan (852-9616 2676), Ian Fok (852-9348 4484), Stella Chan (852-6892 3143) Tel：(852) 3752 0431 / (852) 3679 3671

Fax：(852) 3753 2899
Email：jchan@lbs-comm.com / ifok@lbs-comm.com / schan@lbs-comm.com

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