Tech Group Singapore to merge with Omni Mold

April 25, 2003

Tech Group Singapore Ind. Pte Ltd and Omni Mold Ltd announced today that they intend to merge and create a regional precision plastics tooling, injection molding and assembly services provider with a scale, capability and financial capacity to take on global challenges and opportunities.

Under the terms of the proposed merger, Omni shareholders will exchange their shares in Omni for shares in Tech Group Singapore, and the merged entity will be renamed Tech Group Asia Ltd. Tech Group Asia will seek listing on the SGX and is expected to be ranked among the top plastic companies on the exchange.

"This merger is really a natural extension of the close business and working relationship between the two companies," says Mr. Steve Uhlmann, Chairman of both The Tech Group, Inc. and Omni. The Tech Group's collaboration with Omni started in 1998 when Tech acquired a strategic stake in Omni. "The businesses of the two companies are complimentary. We share similar corporate cultures and work ethics and have common directors. Omni supplies approximately 95% of Tech Group Singapore's mold requirements in Singapore. We are also partners in a joint venture in the Philippines, so it all makes sense."

From an operational point of view, the proposed merger will not only allow Tech Group Asia to realize economies of scale as overheads are spread over a large revenue base, but will also better position it to secure larger contracts from new and existing customers. In addition, the increased scale will also better shield Tech Group Asia from the fortunes of any one customer or product.

Tech Group Asia will be able to offer its customers integrated turnkey manufacturing and assembly solutions for their plastic product requirements. Tech Group Asia will also selectively offer ODM (original design manufacturer) services.

On the cost side, with the completion of the proposed merger, the two companies will be able to consolidate and streamline operations in Singapore and China under Tech Group Asia to achieve higher efficiency.

Tech Group Asia will benefit from The Tech Group's global customer and manufacturing network. As an integral part of The Tech Group's network of over 10 facilities in 5 countries, Tech Group Asia will be able to offer global support to its customers, and it will also be able to offer The Tech Group's customers in high-cost areas a lower-cost alternative with the assurance of quality comparable to The Tech Group's.

To push Tech Group Asia's vision to be one of Asia's leading precision tooling, plastic injection molding and assembly services providers, the merged entity intends to:

• Offer integrated manufacturing solutions to customers from product design through ultra-precision tooling and precision molding to assembly and related services.
• Establish and/or grow operations in China through mergers or acquisitions.
• Be the manufacturing partner of choice for companies in selected industries including medical, automotive and electronic industry.
• Focus on higher-value products, and
• Leverage on The Tech Group's technological expertise and global network of customers and facilities.

Tech Group Americas and Tech Group Europe will remain as private entities.