Clipsal Industries Launched Light Fitting Products in China and Acquired Option to Purchase 49% Equity in Pierlite Pty Ltd., a Leading Manufacturer of Lighting Products in Australia.

HONG KONG--(BUSINESS WIRE)--Aug. 11, 1998--Gold Peak Industries (Holdings) Limited, the Hong Kong international industrial group specializing in batteries, electrical and electronic products, announced that Gold Peak Group's Singapore-listed Electrical Division, Clipsal Industries (Holdings) Limited ("Clipsal Industries") has recently completed the successful launch of a full range of high-end light fitting products in five major cities in China namely Beijing, Shanghai, Guangzhou, Chengdu and Wuhan.

The design and technology of this range of products are mainly transferred from Pierlite Pty Ltd. ("Pierlite"), a leading manufacturer of light fitting products in Australia. Clipsal Industries will go into the production of these light fittings in China and market these products under the "Clipsal" and "Clipsal Pierlite" brands.

In order to secure the rights to use the "Pierlite" brand name and the transfer of technology, Clipsal Industries has entered into a Royalty Agreement with Pierlite and at the same time, has entered into an Option & Loan Agreement with the 100% shareholder of Pierlite (the "Shareholder"). Under the Option & Loan Agreement, Clipsal Industries has provided a loan of US $6.25 million to the Shareholder as the consideration for an Option to acquire a 49% equity interest in Pierlite. The Option is exercisable in year 2001. If Clipsal Industries exercise the

Option, the Loan will be set off against the purchase consideration for the 49% equity interest in Pierlite. However, if Clipsal Industries choose not to exercise the Option, the Shareholder will repay the Loan in full to the company upon expiry of the option period.

K.W. Chau, Managing Director of Clipsal Industries, said: "Our tie with Pierlite will expedite our diversification into the light fittings market and further broaden our product range. With Pierlite's advanced technology and brand strength, we are well-poised to capitalize on our competitive production in China and strong distribution network in Asia."

The product launch in China covered a whole series of commercial and industrial light fittings including fluorescent battens, troffers, outdoor lightings, flood lights, down lights, landscape lightings, emergency lightings and weatherproof lightings.

Initially, Clipsal Group will assemble these products in Huizhou, China. The plan is to progressively expand the assembly production into a full scale manufacturing plant over the next few years.

Information on Clipsal Industries (Holdings) Limited

Clipsal Industries (Holdings) Limited ("Clipsal Industries"), a member company of Gold Peak Industries (Holdings) Limited, is principally engaged in the development, manufacturing and marketing of electrical installation products.

Clipsal Industries has been listed on the Main Board of the Stock Exchange of Singapore since September 1992, and is also a component stock of the BT Singapore Regional Index.

The Clipsal Group's major production facilities and marketing offices are located in Singapore, Malaysia, Hong Kong, China, Taiwan, Indonesia, Thailand, Vietnam, Sri Lanka, India, Australia, South Africa, Pakistan, the United Arab Emirates and Italy.

Today, the Clipsal Group is one of the major suppliers of electrical installation products in Asia. Its turnover in Asia excluding its associated companies exceeds $130 million (US). It also has a 50% stake in Gerard Industries Pty Ltd., a leading electrical manufacturer in Australia and the owner of the CLIPSAL brand name. Excluding its associated companies, the Group currently employs approximately 2,700 people and occupies a floor area of approximately 94,000 square meters.

Information on Pierlite Pty Ltd.

Pierlite is a well-established brand in the Australian lighting industry and it has been in the lighting business for over 40 years. Through continuous development and expansion, it has become today one of the largest commercial and industrial lighting manufacturers in Australia.

Since 1988, Pierlite has emerged as a company recognized for its expertise in producing lighting products for adverse and hazardous locations. Presently, it has a dominating position in the fluorescent battens markets in Australia and New Zealand. It also has the widest range of emergency lighting products and bollards in Australia. Pierlite, based in Sydney, currently has a workforce of approximately 350 people and its manufacturing facilities occupy a total floor area of approximately 15,000 square meters.

Gold Peak's ordinary shares are listed on the Hong Kong Stock Exchange. Additional share information on Gold Peak may be accessed on the Reuters Equity 2000 service under the symbol 0040 HK, on Bloomberg under the symbol 40 HK, and on Quotron under the symbol GDPHK. Gold Peak ADRs, each equal to 10 ordinary shares, trade on the NASD OTC Bulletin Board.

    CONTACT: Gold Peak Industries
              Brenda Lee, 011-852-2420-1610
                    or
              Taylor Rafferty Associates
              Brian J. Rafferty, 212/889-4350