Digital China announces today that its subsidiary - Digital China Information Technology Service Co. Ltd. has obtained a total of RMB400 million investment from China -Singapore Suzhou Industrial Park Ventures Co. Ltd. (hereinafter called CSVC) and Infinity I-China Investments, L.P (hereinafter called Infinity Investments). Digital China Information may receive additional capital increase of RMB100 million from the two private-equity investors.

After the exercise of the Subscription Option (including the additional capital increase), Digital China, CSVC and Infinity Investments will respectively hold a 76.75%, 18.60% and 4.65% stake in Digital China Information.

Digital China Information is principally engaged in the ITS (Information Technology Service) business, including the provision of systems integration services, application software development, maintenance and outsourcing, consultancy and training services to government, telecom and the finance sectors. The capital contributed by Digital China and the two investors shall be used as working capital for business operation and research and development of the ITS business.