ZTC Telecoms plc

Issue of Equity

ZTC Telecommunications plc
18 December 2007


Embargoed until 7am
                                                              18 December 2007

                     ZTC TELECOMMUNICATIONS PLC (AIM: ZTC)
                   ('ZTC Telecommunications' or 'the Group')

                   ISSUE OF SHARES AS DEFERRED CONSIDERATION


On 13 February 2007, Praise Ease Limited was acquired by ZTC Telecommunications
(which was at the time called Cassian Investments plc) for an initial
consideration of 70 million ordinary shares of 10p each ('Ordinary Shares'),
issued at 20p per Ordinary Share.

The acquisition agreement also provided for the issue of up to 15 million
Ordinary Shares by way of deferred consideration to the previous shareholders of
Praise Ease Limited, subject to the main operating subsidiary, Shenzhen Zhong
Tian Communication Equipments Co Ltd ('Zhong Tian') achieving a post tax profit
in excess of RMB 35 million in the 12 month period to 30 June 2007.

ZTC Telecommunications is pleased to advise that, as Zhong Tian achieved the
agreed level of profitability for the year ended 30 June 2007, an additional 15
million Ordinary Shares has now been issued to the vendors of Praise Ease
Limited.


The following shareholders therefore now hold the following number of shares:

Shareholder                                 Shares issued as per       Resulting total Percentage of issued
                                                        deferred    number of Ordinary       Ordinary Share
                                                   consideration           Shares held              capital

Tomorrow's Focus Ltd                                  12,000,000            68,000,000                62.6%
Pan-Europe Capital Ltd                                 2,250,000            12,750,000                11.7%
Higher Performance Team Ltd                              750,000             4,250,000                 3.9%


The shares in Tomorrow's Focus Ltd and in Pan-Europe Capital Ltd are
beneficially owned by Charles Huang to 100 per cent.  Charles Huang is CEO of
ZTC Telecommunications.

The shares in Higher Performance Team Ltd are beneficially owned by Michael Liu
to 80 per cent. and by Mark Syropoulo to 10 per cent. Michael Liu is an
Executive Director of ZTC Telecommunications, and Mark Syropoulo is the Finance
Director of ZTC Telecommunications.

Following the issue of these shares, ZTC Telecommunications' capital consists of
108,682,516 ordinary shares of 10 pence each.

Application has been made for the admission of 15,000,000 Ordinary Shares to
trading on AIM.  The shares will rank pari passu with existing Ordinary Shares
and it is expected that admission will occur at 8.00 am on 21 December 2007


For further information, please contact:

ZTC Telecommunications Plc                  +44 20 7429 6666
Mark Syropoulo, Finance Director
Frank Lewis, Chairman

Conduit PR                                  +44 20 7429 6609
Christian Taylor-Wilkinson or Jos Simson

Blue Oar Securities                         +44 20 7448 4400
Shane Gallwey or Romil Patel


                                     -ends-


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