Asian Bamboo Group Signs Another New Land Lease Contract

Asian Bamboo Group (FWB:5AB), a leading producer of bamboo trees
and organic bamboo shoots in China, has signed another land lease
contract comprising a total acreage of approx. 2,000 ha of mature
bamboo forest in the Fujian province in China. The contract with a
duration of 20 years as of 1 January 2008, envisages a lump-sum lease
payment of some EUR 4,600 per ha which amounts to approx. EUR 9.4
million for the whole acreage. This contract finalises the second of
five non-binding letters of intent with improved key terms to contract
more than 10,000 ha of already mature land for additional plantations.
With these two new contracts Asian Bamboo has increased the already
mature acreage of Asian Bamboo by more than 80% versus the beginning
of 2007. Since the newly contracted land is already mature it will
contribute to Asian Bamboo´s revenues and earnings immediately.

With its IPO on the Prime Standard of the Frankfurt Stock Exchange
on the 16 November, 2007, Asian Bamboo AG raised net proceeds of
approx. EUR 74 million which are intended primarily to finance the
long-term contracting of additional mature bamboo forests in China.
Due to long-term contracts including the most recent one, the company
currently has access to 15 bamboo plantations comprising a total
acreage of more than 18,700 ha in Fujian province, one of the most
suitable and largest bamboo growing areas in China. The company
intends to increase its acreage to more than 30,000 ha by the end of
2010.

Mr. Zuojun, CEO of Asian Bamboo AG, comments on the new contract:
"This second land lease contract in a short time marks the next step
on our growth path as announced at the time of the IPO. We have not
lost time using the IPO proceeds to contract further plantations in
order to, particularly, expand our high-margin bamboo tree business.
The negotiations on the three further plantation portfolios are going
according to plan, and we are confident to be able to successfully
close the respective contracts soon."

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About Asian Bamboo AG

Asian Bamboo Group is a leading bamboo producing company in China
focusing on two product categories: bamboo trees and organically grown
bamboo shoots. Due to long-term contracts the company at this stage
has access to 15 bamboo plantations comprising a total acreage of more
than 18,700 ha in the Fujian province, one of the most important and
suitable areas for the growing of bamboo in China.

Over the last three years, the company has achieved a compound
annual growth rate (CAGR) of 79% in revenues to EUR 10.89 million in
2006 and - adjusted for changes in the fair value of biological assets
- a CAGR of 127% in net profit to EUR 3.94 million in 2006. In the
first nine months of 2007 Asian Bamboo Group generated revenues of EUR
11.7 million and an adjusted net profit of EUR 6.1 million.

Asian Bamboo Group´s registered office is located in Hamburg,
Germany. Its production facilities are located in China´s Fujian
province, one of the main areas for growing bamboo in the People´s
Republic of China. As of 30 September 2007, Asian Bamboo Group had
approximately 300 employees.

Further information on Asian Bamboo AG can be obtained at:
www.asian-bamboo.com

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This document constitutes neither an offer to sell nor a
solicitation to buy securities of Asian Bamboo AG. The securities have
already been sold.

This document is not an offer of securities for sale in the United
States of America. Securities may not be offered or sold in the United
States of America absent registration or an exemption from
registration under the U.S. Securities Act of 1933, as amended. The
shares in Asian Bamboo AG have not been and will not be registered
under the U.S. Securities Act of 1933, as amended, and are not being
and will not be offered or sold in the United States of America.

This document is directed at and/or for distribution in the U.K.
only to (i) persons who have professional experience in matters
relating to investments falling within article 19(5) of the Financial
Services and Markets Act 2000 (Financial Promotion) Order 2005 (the
"Order") or (ii) high net worth entities falling within article
49(2)(a) to (d) of the Order (all such persons being together referred
to as "relevant persons"). This document is directed only at relevant
persons. Any person who is not a relevant person should not act or
rely on this document or any of its contents. Any investment or
investment activity to which this document relates is available only
to relevant persons and will be engaged in only with relevant persons.

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