Providential Holdings Announces Joint Venture to Establish Equity Funds and Provide Financial Advisory Services in Vietnam

LOS ANGELES, CA and HO CHI MINH CITY, VIETNAM -- (MARKET WIRE) -- November 16, 2006 -- Providential Holdings, Inc. (OTCBB: PRVH) (German Stock Exchanges: PR7, WKN 935160), a provider of international advisory services specializing in mergers and acquisitions, announced today that it has signed a joint venture agreement with the Thanh Viet Fund Management Company (TVMC) (www.thanhviet.com.vn).

Under the terms of the agreement, the two companies will work closely together to raise and establish Vietnam equity investment funds and provide advisory services to assist Vietnamese companies list on foreign exchanges, particularly in the United States.

Initially, the agreement covers raising up to $12.5 million to form a growth fund, Saigon A2, focusing on Vietnam-listed companies. The fund is expected to close by the end of December 2006 with up to 49% of foreign investment capital.

TVMC and Providential also are seeking to establish the Saigon Real Estate Investment Fund and raise up to $100 million capital for the fund. The fund is expected to close in the first quarter of 2007 with 49% of total capital from foreign investors. The fund will focus on real estate development projects such as housing complexes, office buildings and shopping centers.

Chairman and CEO Henry Fahman, said, "Our alliance with TVMC and Chairman Vo Van Tai will help provide investors with favorable opportunities to invest in the rapidly growing Vietnamese economy. With a growth rate in Vietnam estimated at an estimated 8% a year over the next decade, we believe there will be appealing growth vehicles for serious investors. Through these new funds and taking Vietnamese companies public in the United States, we intend to establish structures for foreign capital investors to benefit from the enormous growth ahead."

Vo Van Tai, chairman of TVMC, said, "Vietnam's growing economy, dynamic private sector, huge reserves of idle funds held by commercial banks and the public and buoyant stock market provide a good foundation to attract investors. Many investors are showing keen interest in our funds and activities. We are delighted to be working with Henry Fahman and his people at Providential. They have excellent access to capital as well as the American investment community where we expect to build strong support for our activities."

TVMC was founded by Ho Chi Minh City-based TVH Corporation, Phuong Nam Commercial Bank (PNB) and a number of local investors. TVMC currently runs the Saigon Fund A1, which has about $2 million under management. Tai is a former principal with Dragon Capital.

About Providential Holdings, Inc.

Providential Holdings and its subsidiaries engage in a number of diverse business activities, the most important of which are M&A advisory services and independent energy. The company acquires and consolidates special opportunities in selective high-growth industries to create additional value, acts as an incubator for emerging companies and technologies, and provides financial consultancy and M&A advisory services to U.S. and foreign companies. For more information on Providential Holdings and its subsidiaries, visit http://www.phiglobal.com. As part of its activities in Vietnam, Providential has been hosting seminars in conjunction with the Nasdaq Stock Market, the Vietnamese Chamber of Commerce and Industry and a leading U.S. investment-banking firm to help Vietnamese companies go public and raise capital through the U.S. financial markets.

A profile for investors can be accessed at http://www.hawkassociates.com/prvhprofile.aspx.

For investor relations questions regarding Providential, contact Frank Hawkins or Julie Marshall, Hawk Associates, at (305) 451-1888, e-mail: info@hawkassociates.com, or visit http://www.americanmicrocaps.com or http://www.hawkassociates.com

Safe Harbor: This news release contains forward-looking statements that are subject to certain risks and uncertainties that may cause actual results to differ materially from those projected on the basis of such forward-looking statements. Such forward-looking statements are made based upon management's beliefs, as well as assumptions made by, and information currently available to, management pursuant to the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995.

Contact Information: Investor Relations Contact: Hawk Associates, Inc. Frank N. Hawkins, Jr. or Julie Marshall Phone: (305) 451-1888 Email: Email Contact