AV Concept : APPOINTMENT OF INDEPENDENT NON-EXECUTIVE DIRECTOR AND MEMBER OF AUDIT, NOMINATION, REMUNERATION AND CORPORATE GOVERNANCE COMMITTEES

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 the Cayman Islands with limited liability)

(Stock Code: 595)

APPOINTMENT OF INDEPENDENT NON-EXECUTIVE DIRECTOR

AND

MEMBER OF AUDIT, NOMINATION, REMUNERATION AND

CORPORATE GOVERNANCE COMMITTEES

The Board hereby announces that Mr. Lai, Yat Hung Edmund has been appointed as the independent non-executive Director of the Company and a member of each of the Audit Committee, the Nomination Committee, the Remuneration Committee and the Corporate Governance Committee of the Company, all with effect from 6 December 2019.

This announcement is made by AV Concept Holdings Limited (the "Company", together with its subsidiaries, collectively referred to as the "Group") pursuant to Rule 13.51(2) of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the "Listing Rules").

The board (the "Board") of directors (the "Directors") of the Company hereby announces that Mr. Lai, Yat Hung Edmund ("Mr. Lai") has been appointed as an independent non-executive Director of the Company and a member of each of audit committee of the Company (the "Audit Committee"), the nomination committee of the Company (the "Nomination Committee"), the remuneration committee of the Company (the "Remuneration Committee") and the corporate governance committee of the Company (the "Corporate Governance Committee") with effect from 6 December 2019.

Biographical details of Mr. Lai are set out as follows:

Mr. Lai, aged 54, obtained a Bachelor's Degree in Civil Engineering from Imperial College London in 1987. He is a qualified accountant from the Institute of Chartered Accountants of England and Wales. Mr. Lai has over 30 years of experience in finance and treasury management, risk management, mergers and acquisitions, accounting and data analytics.

Mr. Lai started his career in 1987 with Ernst & Young in London where he qualified as a Chartered Accountant. He was responsible for audit and business services assignments. During this time, he was seconded to management consultancy services for four months and specialized in developing financial models and business forecasts for a major oil and gas

- 1 -

project. In 1993, Mr. Lai was transferred to Ernst & Young in Hong Kong as a manager in their audit services and was responsible for various large company audits and IPO's in Hong Kong and the People's Republic of China (the "PRC"). In 1996, Mr. Lai joined the Company as the Group Financial Controller. He was responsible for the overall financial strategies and the daily management of the Company's accounting and finance functions. Mr. Lai was the Chief Financial Officer and the executive Director of the Company from 2003 to 2006. From 2006 to 2008, Mr. Lai acted as the Chief Executive Officer of AV BreconRidge Limited and the President of BreconRidge Manufacturing Solutions (Asia) Limited. In 2008, Mr. Lai started his own consultancy services and worked on projects for various PRC companies and charities. Mr. Lai joined Vertex Services Limited (a member of HMTX Industries LLC) as the Chief Financial Officer since 2011 and continued to serve to present. He has overall responsibility for the finance, treasury and risk management functions of Vertex Services Limited and its related companies in the PRC and Hong Kong.

The Company has entered into a letter of appointment with Mr. Lai in relation to his appointment as an independent non-executive Director of the Company for a term of three years commencing on 6 December 2019 which is determinable by either party serving on the other not less than one month's written notice, subject to retirement by rotation and re-election in accordance with the articles of association of the Company and the Listing Rules. Mr. Lai will be entitled to a director's fee of HK$150,000 per annum, which was recommended by the Remuneration Committee and has been determined with reference to the prevailing market conditions and his roles and responsibilities in the Group, subject to review by the Board and the Remuneration Committee from time to time. He has not entered into nor proposed to enter into any service contracts, which fall within the meanings of Rule 13.68 of the Listing Rules requiring the prior approval of shareholders of the Company at general meetings, with the Company.

As at the date of this announcement, save as disclosed above, (i) Mr. Lai does not hold any other position with the Company or its subsidiaries nor have any relationship with any director, senior management, substantial shareholder or controlling shareholder of the Company; (ii) Mr. Lai has not held any directorships in any other public companies, the securities of which are listed on any securities market in Hong Kong or overseas in the last three years; and (iii) Mr. Lai does not have any interest or short positions in any shares, underlying shares or debentures of the Company or any of its associated corporations within the meaning of Part XV of the Securities and Futures Ordinance (Chapter 571, the Laws of Hong Kong).

Mr. Lai has confirmed that he has met the independence criteria set out in Rule 3.13 of the Listing Rules. Save as disclosed above, there are no other matters relating to Mr. Lai's appointment that need to be brought to the attention of the shareholders of the Company nor any information to be disclosed pursuant to Rules 13.51(2)(h) to 13.51(2)(v) of the Listing Rules.

- 2 -

The Board would like to express its warmest welcome to Mr. Lai for joining the Board.

By Order of the Board

AV Concept Holdings Limited

So Yuk Kwan

Chairman

Hong Kong, 6 December 2019

As at the date of this announcement, the Board comprises three executive directors, Dr. So Yuk Kwan (Chairman), Mr. So Kevin Chi Heng and Mr. So Chi Sun Sunny and four independent non-executive directors, Dr. Lui Ming Wah, SBS, JP, Mr. Charles E. Chapman, Mr. Wong Ka Kit and Mr. Lai, Yat Hung Edmund.

- 3 -