09:14     ORIENTAL UNION<01182> - Announcement & Resumption (2)               

    The Placing Price which was arrived at after arm's length negotiations    
    between the Company and the Placing Agent and represents:                 
                                                                              
    (i)   a discount of approximately 21.88 per cent. to the closing price    
    of HK$0.128 per Share as quoted on the Stock Exchange on 26 November      
    2002, being the date of the Placing Agreement;                            
                                                                              
    (ii)   a discount of approximately 26.47 per cent. to the average         
    closing price of approximately HK$0.136 per Share as quoted on the Stock  
    Exchange for the last ten trading days prior to and including 26          
    November 2002; and                                                        
                                                                              
    (iii)   a discount of approximately 55.95 per cent. to the audited        
    consolidated net assets value of the Group of approximately HK$0.227 per  
    Share as at 31 March 2002 (on the basis of 1,521,541,315 Shares in        
    issue as at 31 March 2002).                                               
                                                                              
    Mandate to issue the Placing Shares                                       
                                                                              
    The Placing Shares will be issued under the general mandate granted to    
    the Directors at the special general meeting of the Company held on 30    
    August 2002.                                                              
                                                                              
    Ranking of the Placing Shares                                             
                                                                              
    The Placing Shares, when fully paid, will rank pari passu in all          
    respects with the Shares in issue at the date of allotment of the         
    Placing Shares.                                                           
                                                                              
    Condition of the Placing                                                  
                                                                              
    The Placing is conditional upon the Listing Committee of the Stock        
    Exchange granting the listing of, and permission to deal in, the Placing  
     Shares.                                                                  
                                                                              
    In the event that the above condition is not fulfilled on or before 31    
    January 2003 or such other date as may be agreed between the Company and  
     the Placing Agent in writing, the Placing Agreement will lapse and be    
    of no further effect. Further announcement will be made by the Company    
    as and when appropriate.                                                  
                                                                              
    Application for listing                                                   
                                                                              
    Application will be made by the Company to the Listing Committee of the   
    Stock Exchange for granting the listing of, and permission to deal in,    
    the Placing Shares.                                                       
                                                                              
    Completion                                                                
                                                                              
    Completion of the Placing will take place before the tenth business day   
    after fulfillment of the condition referred to in the paragraph headed    
    "Condition of the Placing" (or such later date as the Company and the     
    Placing Agent may agree in writing).                                      
                                                                              
    Reason for the Placing and use of proceeds                                
                                                                              
    The Directors, including independent non-executive Directors, consider    
    that the Placing represents a good opportunity to raise capital for the   
    Company while broadening the shareholders base and the capital base of    
    the Company. The Directors consider that the Placing is in the best       
    interest of the Company.                                                  
                                                                              
    The net proceeds to be raised from the Placing in the amount of up to     
    approximately HK$29 million will be used for the making of future         
    investment if appropriate opportunity arises. In the event that no        
    appropriate investment opportunity is identified by the Group, the net    
    proceeds will be retained by the Group for general working capital        
    purpose. Currently, the Company has not identified any investment         
    opportunity in any new projects which are considered appropriate to the   
    Group.                                                                    
                                                                              
    Substantial shareholder's interest in the Company                         
                                                                              
    The effective shareholding of Sincere Bonus Investment Ltd., the single   
    largest shareholder of the Company and a company wholly owned by Mr. Hon  
     Ming Kong, an executive Director, will be diluted from 16.80 per cent.   
    to 14.03 per cent. upon completion of the Placing.                        
                                                                              
    Shareholders of the Company and potential investors are advised to        
    exercise caution in dealing in the Shares.                                
                                                                              
    GENERAL                                                                   
                                                                              
    At the request of the Company, trading in the securities of the Company   
    was suspended with effect from 9:30 a.m. on 27 November 2002 pending the