New Investment (5514W)

TIDMVOC

RNS Number : 5514W

Vision Opportunity China Fund Ltd

22 November 2010

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART INTO

THE UNITED STATES, CANADA, AUSTRALIA, SOUTH AFRICA OR JAPAN

22 November 2010

Vision Opportunity China Fund Limited

(the "Company" or "VOC")

New Investment

Vision Opportunity China Fund Limited (AIM: VOC.L) announces that it invested $3.0 million in China Ceramics Co., Ltd. ("China Ceramics") (NASDAQ:CCCL) as part of a $26.0 million underwritten secondary public offering on 19 November 2010. Roth Capital Partners, LLC acted as sole book-running manager of the offering with Maxim Group, LLC acting as a co-manager.

China Ceramics is a leading manufacturer of ceramic tiles in China. Its ceramic tiles are primarily used for exterior siding, interior flooring and design in residential and commercial buildings. It currently operates two facilities located in Fujian and Jiangxi provinces, with a total capacity of approximately 38 million sq. metres. China Ceramics primarily sell its products through an exclusive distributor network or directly to property developers. Its "Hengda" or "HD" brands were awarded the "Chinese Well-Known Trademark" award from the Intermediate People's Court of Xiangtan City and "Asia's 500 Most Influential Brands 2010" award from the World Brand Laboratory. Established in April 1993, China Ceramics currently has approximately 2,000 employees.

The board, advised by Vision Capital Advisors, believes the Chinese ceramic tiles industry is fragmented and that the underlying domestic demand for ceramic tiles continues to grow driven by real estate development in tier II and tier III cities and continuing urbanisation. According to a report published by China Research and Intelligence Co. Ltd, in 2009, the PRC ceramic tile industry manufactured more than 5.3 billion sq. metres, representing a year-on-year growth of approximately 15.4%. With strong brand recognition in the PRC and access to capital markets, the board, advised by Vision Capital Advisors, believes China Ceramics is well positioned to take advantage of industry consolidation opportunities and to increase its market share.

To meet the strong growing demand which it experienced, China Ceramics started capacity expansion projects in 2009 and expects to increase the capacity of both its Fujian and Jiangxi facilities to 36.8 million sq. metres and 42 million sq. metres from 28 million sq. metres and 10 million sq. metres, respectively. China Ceramics intends to apply the net proceeds of the offering, together with other cash on hand and cash from operations, to support these two projects. In addition to its organic growth, China Ceramics intends to continue to pursue selective acquisition opportunities to broaden its product lines, expand its customer base and penetrate new geographic regions.

According to its published results, for the nine months ended 30 September 2010, China Ceramics generated total revenue of $116.7 million and net income of $24.2 million, which represents increases of 29.1% and 29.9%, respectively over the nine months ended 30 September 2009. China Ceramics' backlog of orders for delivery in the fourth quarter is stated to be approximately $41.8 million, representing a year-on-year growth rate of 20.9% compared to the revenue in the fourth quarter of 2009.

In return for its investment, VOC received 387,000 registered shares of CCCL's common stock at a price of $7.75 per share. The closing price of NASDAQ: CCCL's common stock on 18 November 2010 was $8.45 per share, giving China Ceramics a market capitalisation of $110.8 million prior to completion of the secondary public offering.

This transaction will be described in more detail in the prospectus and other supporting documents to be filed shortly by China Ceramics with the Securities and Exchange Commission.

For further information, please contact:

Vision Opportunity China Fund Limited

David Benway / Adam Benowitz Tel: +1 (212) 849 8225

Canaccord Genuity Limited Tel: +44 (0)20 7050 6500

Guy Blakeney / Sue Inglis

Financial Dynamics Tel: +44 (0)20 7269 7132

Ed Gascoigne-Pees / Ed Berry

NOTE TO EDITORS

Vision Opportunity China Fund Limited

Vision Opportunity China Fund Limited ("VOC") is a closed-ended fund traded on AIM. VOC primarily invests directly in listed companies with operations principally within Greater China.

Greater China is a collective term for the territories administered by the People's Republic of China, those administered by the Republic of China and Singapore.

China Ceramics Co., Ltd.

China Ceramics is a leading manufacturer of ceramic tiles in China. Its ceramic tiles are used primarily for exterior siding, interior flooring and design in residential and commercial buildings. China Ceramics has been producing ceramic tiles since 1993 and offers five different types of ceramic tiles under the "HD" or "Hengda", "HDL" or "Hengdali" and "TOERTO" brands. Its products are available in over two thousand styles, colours and size combinations.

This information is provided by RNS

The company news service from the London Stock Exchange

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