10:18     GOLIK HOLDINGS<01118> - Announcement (2)                            

    To the best of the Directors' knowledge, information                      
    and belief having made all reasonable enquiry, Bridon                     
    HK and its ultimate beneficial owners are Independent                     
    Third Parties. Bridon HK is a member of the Bridon                        
    group of companies, a specialist in the manufacture                       
    of steel wire and wire rope solutions, and an indirect                    
    subsidiary of FKI plc, an international diversified                       
    engineering group quoted on the London Stock                              
    Exchange.                                                                 
                                                                              
    Party A currently holds 49% of the equity interest                        
    of Tianjin Golik, a subsidiary of the Company and is                      
    accordingly a connected person of the Company.                            
                                                                              
    China Rope is a company incorporated in Hong Kong and                     
    as at the date of the signing of the Subscription and                     
    Shareholders' Agreement and the Equity Joint Venture                      
    Contract is wholly beneficially owned by Bridon HK.                       
    Upon completion of the Subscription, China Rope will                      
    be held as to 70% by Bridon HK and as to 30% by the                       
    Company.                                                                  
                                                                              
    Upon completion of the transactions contemplated in                       
    the Agreements,                                                           
                                                                              
    (1)     Tiajin Golik will cease to be a subsidiary of                     
    the Company;                                                              
                                                                              
    (2)     the registered capital of Tianjin Golik will                      
    increase from US$1,000,000 to US$2,000,000 and rename                     
    as "Tianjin Bridon Rope Ltd. (#*)".                                       
    The additional US$1,000,000 capital will be                               
    contributed by China Rope in the manner provided in                       
    the Equity Joint Venture Contract;                                        
                                                                              
    (3)     the Company will be interested in 30% of China                    
    Rope, which will be its associated company;                               
                                                                              
    (4)     China Rope will be interested in 75.5% of the                     
    equity interest of Bridon Tianjin JV including the                        
    51% equity interest in Tianjin Golik (the predecessor                     
    of Bridon Tianjin JV prior to the increase in the                         
    registered capital and the change of name)                                
    transferred by CMTH to China Rope pursuant to the                         
    Transfer; and                                                             
                                                                              
    (5)     The Company will be effectively interested in                     
    22.65% of the equity interest of Bridon Tianjin JV                        
    through its 30% interest in China Rope.                                   
                                                                              
    The proceeds from the Transfer in the amount of                           
    US$1,328,571 (equivalent to approximately HK$10.36                        
    million) will be applied as to HK$5,448,856 to finance                    
    the subscription of the China Rope Shares under the                       
    Subscription and as to HK$4,913,997.80 for use as                         
    general working capital of the Group.                                     
                                                                              
    Upon completion of the Transfer, the Group will record                    
    a gain of approximately HK$3 million in its interim                       
    accounts for the six months ending 30 June 2005.                          
                                                                              
    The Subscription and Shareholders' Agreement                              
    Date    :       21 January 2005                                           
                                                                              
    Parties :       (1)     the Company;                                      
                                                                              
    (2)     Bridon HK and                                                     
                                                                              
    (3)     China Rope.                                                       
                                                                              
    The Subscription        :       The issued share capital of               
    China Rope prior to completion of the Subscription                        
    is 10,000 China Rope Shares, all of which are