Press Release

Singapore April 2^nd, 2008

Technovator Int Private Ltd (‘Technovator’) and Distech Controls Inc. (‘Distech’) announce a strategic merger.  In this transaction, Technovator will acquire the majority stakes currently held by Distech’s institutional investors.  In addition, Technovator will inject further capital into Distech to support its expansion plan and synergistic operational tie up with Technovator.

This merger signifies the linkage of strategic values of China, Canada and Singapore.  The transaction will allow Technovator to have access to Distech’s  various state of the art building automation products  and for Distech to have access to Technovator’s products for its markets in Canada, Europe and the United States.  In addition, Distech, will be able to tap into Technovator’s production facilities in China and markets in Asia.  Technovator is currently the market leader in building automation in China, combining with Distech, Technovator, will be a global player with presence in more than 50 countries. 

As part of Technovator’s strategy to localize management and tap into North American expertise, Mr. Etienne Veilleux, Distech founder and significant shareholder will continue as Distech President & CEO. And Distech’s North American management and product development team will continue to be based in Distech’s head office in Montreal, Quebec.

Mr Seah Han Leong, Managing Director of Technovator Int Private Ltd commented “Distech is an excellent and innovative company with products that are recognized by Frost & Sullivan.  This merger will provide Technovator a strong platform to become a major  player in the global digital city markets. This strategic fit in terms of products, geographical coverage, competence and skills will increase Technovator’s competitive strength and  available markets.”

Mr Etienne Veilleux, CEO and President of Distech Controls, Inc. commented “Technovator is the leading player in China and this tie-up will facilitate Distech’s market penetration in China and Asia.  Technovator’s ultimate parent, Tsing Hua Holdings Co. Ltd, is related to Tsing Hua University which is the MIT of China.  This tie-up will allow Distech to have access to a wide pool of researchers and automation related technologies from Tsing Hua Unversity.   With these supports from Technovator, Distech will have a strong foundation for further acquisitions and to become a major player in the BAS market ’’.

Introduction to TongFang Company Limited

TongFang Co. Ltd is a high-tech company controlled by Tsinghua Holdings Co. Ltd.  It was established in June 1997 and listed on the Shanghai Stock Exchange with a total of 575 million stocks.  TongFang Company is based on its own independent core technology and has combined capital operations capability, establishing itself in four major industries: information technology, energy and environment, applied nuclear electronics technology and biomedicine.

In the field of information, Tsinghua TongFang devotes itself to technological innovation in applied information systems, computer systems and digital television systems and product development, so as to provide overall solutions and complete equipment for digital cities, digital education, digital media and other industries. At present, Tsinghua TongFang is already a technological leader in the areas of digital cities, computers and digital education resources, and has a good market share in China.