09:39     SUNNY GLOBAL<01094> - Announcement (1)                              

    The Stock Exchange of Hong Kong Limited takes no responsibility for       
    the contents of this announcement, makes no representation as to its      
    accuracy or completeness and expressly disclaims any liability            
    whatsoever for any loss howsoever arising from or in reliance upon        
    the whole or any part of the contents of this announcement.               
                                                                              
    SUNNY GLOBAL HOLDINGS LIMITED                                             
    (Incorporated in Bermuda with limited liability)                          
    (Stock Code: 1094)                                                        
                                                                              
    DISCLOSEABLE TRANSACTION                                                  
    ACQUISITION OF THE ENTIRE ISSUED SHARE CAPITAL OF                         
    POPULAR ASSET LIMITED                                                     
                                                                              
    On 7 January 2005, the Purchaser, a wholly-owned subsidiary of            
    the Company, entered into the Acquisition Agreement with the Vendor       
    pursuant to which the Purchaser would acquire the entire issued share     
    capital of Popular Asset Limited for a Consideration of HK$15,000,000     
    (subject to downward adjustment).                                         
                                                                              
    The Acquisition constitutes a discloseable transaction of the             
    Company under Rule 14.06 (2) of the Listing Rules. A circular             
    containing, amongst others, further details of the Acquisition            
    Agreement will be despatched to the Shareholders as soon as               
    practicable.                                                              
                                                                              
                                                                              
    THE ACQUISITION AGREEMENT                                                 
    Date and parties to the Acquisition:                                      
    Date:                          7 January 2005                             
    Vendor:                        Fortis Development Limited.                
                                   To the best of the Directors'              
                                   knowledge, information and                 
                                   belief having made all                     
                                   reasonable enquiry, the                    
                                   Vendor and its ultimate                    
                                   beneficial owner are third                 
                                   parties independent of the                 
                                   Group and connected persons                
                                   (as defined in the Listing                 
                                   Rules) of the Group.                       
    Purchaser:                     Appraise Asia Investments                  
                                   Limited, a wholly-owned                    
                                   subsidiary of the                          
                                   Company                                    
                                                                              
                                                                              
                                                                              
    The Acquisition:                                                          
    The Purchaser agreed to acquire from the Vendor the entire issued         
    share capital of Popular Asset.                                           
                                                                              
    Consideration:                                                            
    The Consideration for the Acquisition is HK$15,000,000 which will be      
    settled by internal resources of the Company and payable by cash at       
    Completion. In the event that the audited total assets value of           
    Popular Asset as at 31 December 2004 as shown in its audited              
    financial statements for the period from 8 August 2003 (being the         
    date of incorporation of Popular Asset) to 31 December 2004 is less       
    than HK$1,500,000, the Consideration will be adjusted downwards. The      
    Consideration is not subject to any upward adjustment. Any downward       
    adjustment to the Consideration will be payable by the Vendor to the      
    Purchaser in cash on or before 30 June 2005. The Consideration was        
    arrived at after arm's length negotiation and is on normal commercial     
    terms.                                                                    
                                                                              
    The Consideration was determined by the parties having regard to the      
    valuation of Popular Asset as at 1 December 2004 in the amount of         
    HK$15,500,000 valued by Castores Magi Asia Limited, a valuer which is     
    independent of the Group and connected persons (as defined in the         
    Listing Rules) of the Group. Such valuation of Popular Asset was          
    based on the discounted cash flow method. The valuation was based on      
    the principal assumptions that, including but not limited to, (i)         
    there will be no material changes from political, legal, economic or      
    financial aspects in the jurisdictions in which Popular Asset             
    currently runs or intends to run its business which will materially       
    affect its operation; (ii) there will be no substantial market            
    fluctuation in the industry in the jurisdictions or states in which       
    Popular Asset currently runs or intends to run its business, which        
    will materially affect its operations and the revenues attributable       
    to shareholders; and (iii) the management of Popular Asset will not       
    make any decision which is harmful to the revenue generation ability      
    of Popular Asset's business. The Company's reporting accountants have     
    confirmed that they have reviewed the accounting policies and             
    calculation relating to the valuation. The Board has confirmed that       
    the Directors have carried out due and careful enquiries in respect       
    of the valuation.                                                         
                                                                              
    The Directors are of the view that the terms of the Acquisition           
    Agreement including the Consideration are fair and reasonable so far