Softpower International : INSIDE INFORMATION - (I) DISPOSAL OF SHARES BY CONTROLLING SHAREHOLDER AND (II) POTENTIAL ISSUANCE OF NEW SHARES UNDER GENERAL MANDATE

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

(Incorporated in Bermuda with limited liability)

(Stock Code: 00380)

INSIDE INFORMATION

(I) DISPOSAL OF SHARES BY CONTROLLING SHAREHOLDER

AND

(II) POTENTIAL ISSUANCE OF NEW SHARES UNDER GENERAL MANDATE

This announcement is made by Softpower International Limited (the "Company") pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules") and the Inside Information Provisions under Part XIVA of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) (the "SFO").

DISPOSAL OF SHARES BY CONTROLLING SHAREHOLDER

After trading hours on 25 January 2018, the board (the "Board") of directors of the Company has been informed by Mr. Lai Guanglin ("Mr. Lai"), the chairman of the Board and executive director, and the controlling shareholder of the Company, that he had disposed of 333,317,500 shares of the Company, representing approximately 25% of the entire issued share capital of the Company through his wholly-owned company, Singapore Zhongxin Investment Company Limited ("SZICL"), at the consideration of HK$0.36 per share (equal to a total consideration of HK$120,000,000) to Ms. Qu Zhi, who is a third party independent of the Company and its connected persons (as defined in the Listing Rules) (the "Disposal").

Upon completion of the Disposal, Mr. Lai will hold 437,234,620 shares of the Company through SZICL, the shareholding will decrease from approximately 57.79% to approximately 32.79%. Mr. Lai will remain as the controlling shareholder (as defined in the Listing Rules) of the Company.

POTENTIAL MANDATEISSUANCEOFNEWSHARESUNDERGENERAL

The Board would like to inform the shareholders and potential investors of the Company that the Company is in discussions in relation to a potential fund raising regarding theissuance of new shares of the Company under general mandate (the "Potential Issuance"). As at the date of this announcement, no binding agreement has been entered into by the Company. The Company will make further announcement in accordance with the Listing Rules as and when necessary.

Trading in the shares of the Company on The Stock Exchange of Hong Kong Limited has been suspended since 25 January 2018 at 2:01 p.m. and will remain suspended until release of an announcement in relation to the Potential Issuance.

The Potential Issuance may or may not materialize. Shareholders and investors of the Company are advised to exercise caution when dealing in the securities of the Company.

By order of the Board

Softpower International Limited

Lai Guanglin

Chairman

Hong Kong, 25 January 2018

As at the date of this announcement, the Board comprises Mr. Lai Guanglin, Mr. Yu Ben Ansheng and Mr. Lai Fulin as executive Directors; Mr. U Kean Seng as non-executive Director; and Mr. Wong Yee Shuen, Wilson, Mr. Chen Wei Wen and Mr. Guan Zhiqiang as independent non-executive Directors.