Imagi Completes HK$406 Million (US$52m*) Zero Coupon Convertible Bond Placement

Dec 4th 2007
* assumes exchange rate of HK$7.80 to US$1.00

Hong Kong (December 5, 2007) – IMAGI International Holdings, Limited (HKSE Stock
Code: 585 (“IMAGI”) today announced the placement of HK$406 million in convertible
bonds. The lead investor is Singapore-based Oxley Capital Group, with other investors
including CQS Capital (London) and Winnington Capital (Hong Kong).

IMAGI will use the proceeds from the convertible bond placement to finance production of
its future films, including Astro Boy and Gatchaman, both scheduled for release in 2009.
The films will be distributed globally by Warner Brothers and The Weinstein Company.

The zero coupon convertible bonds HKD $2 million in denomination with three year
maturities. Conversion price is HKD $1.768, representing a 25% conversion premium
over current market price. Assuming full conversion, the bonds would represent a stake
of approximately 12.3% in IMAGI, on a fully diluted basis.

IMAGI produces top-quality, Hollywood-style animated movies at significantly lower
costs than its US-based competitors,” said Mark Pawley, a Director at Oxley Capital.
“The economics are compelling, as are the management team, the films in production,
and the upside potential of the company.”

IMAGI is pleased to welcome Oxley Capital and CQS to our investor roster,” said
Douglas Glen, Co-CEO of IMAGI. “They are respected investors with reputations for
adding significant value to their portfolio companies.”

Astro Boy was originally created by the “god of manga,” Japan's Osamu Tezuka, in the
early 1950s. The animated television series first aired in 1963 in Japan and found great
acclaim and success around the world. In the U.S., it quickly became a top-syndicated
children's show. The iconic character's fame grew in the 1980s and 2003 with two new
Astro Boy TV series attracting new generations of fans.

Astro Boy tells the story of a powerful robot boy created by a brilliant scientist in the
image of the son he has lost. Our hero journeys to find acceptance in the human world,
and ultimately discovers true friendship as he uses his incredible powers to help others
and save Metro City from destruction.

Gatchaman originated in Japan in the early 1970s as the television series Science Ninja
Team Gatchaman. Aired in the U.S. as Battle of the Planets and G-Force, it soon became
a widely popular syndicated TV series.

Featuring some of the most ambitious sets and action sequences ever seen in animation,
IMAGI's Gatchaman is set in a future world beset by environmental problems and extra-
terrestrial invaders. The story focuses on five reluctant heroes whose remarkable genetic
code makes them Earth's only hope for survival.

www.IMAGI.com.hk

Imagi International Holdings Limited (“IMAGI”) is a listed company (Stock Code 585) on the
main board of the Hong Kong Stock Exchange. IMAGI's principal business is the development and
production of computer graphics (“CG”) animated theatrical feature films. IMAGI's first theatrical
movie TMNT was released in March 2007, opening #1 in U.S. box office revenue, only the third
time in history that an Asian-made film has achieved that honour. IMAGI has development
operations in Los Angeles, California, and CG production studios at its Chai Wan (Hong Kong)
headquarters.

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