09:38     CHI CHEUNG<00112> - Announcement (2)                                

    Placing Price:                                                            
                                                                              
    The Placing Price of HK$0.95 per Share and the net placing                
    price of the Placing of approximately HK$0.94 per Share were              
    agreed after arm's length negotiations between the Company                
    and the Placing Agent.  The Placing Price represents (i)                  
    a discount of approximately 12.84% to the closing price of                
    the Shares of HK$1.09 quoted on the Stock Exchange on 24                  
    January 2005, being the date of the Placing Agreement; (ii)               
    a discount of approximately 8.65% to the average closing                  
    price of the Shares of HK$1.04 quoted on the Stock Exchange               
    for the five consecutive trading days immediately prior to                
    24 January 2005; and (iii) a discount of approximately 9.52%              
    to the average closing price of the Shares of HK$1.05 quoted              
    on the Stock Exchange for the ten consecutive trading days                
    immediately prior to 24 January 2005.                                     
                                                                              
    The Directors consider that the Placing Price is fair and                 
    reasonable and in the interests of the Company and its                    
    shareholders as a whole.  The total amount of Placing Price               
    for the Placing Shares is approximately HK$53.64 million.                 
                                                                              
    Underwriting commission payable to the Placing Agent:                     
                                                                              
    The Placing is fully underwritten by the Placing Agent with               
    underwriting commission calculated as 1.5% of the amount                  
    equal to the Placing Price multiplied by the number of the                
    Placing Shares.  The net proceeds of the Placing, after                   
    deducting the underwriting commission and other expenses,                 
    will be approximately HK$52.8 million.                                    
                                                                              
    General Mandate:                                                          
                                                                              
    The Placing Shares will be allotted and issued pursuant to                
    the general mandate granted to the Directors at the                       
    Company's annual general meeting held on 18 May 2004.  As                 
    at the date of this announcement, no Shares have been issued              
    and allotted pursuant to such general mandate.  The Placing               
    will utilize approximately 100% of the Shares to be issued                
    and allotted pursuant to this general mandate.                            
                                                                              
    Ranking of Placing Shares:                                                
                                                                              
    The Placing Shares will rank pari passu in all respects                   
    among themselves and with the existing issued Shares.                     
                                                                              
    Condition of the Placing:                                                 
                                                                              
    The Placing is conditional upon the Listing Committee of                  
    the Stock Exchange granting listing of, and permission to                 
    deal in, all of the Placing Shares.                                       
                                                                              
    The condition must be fulfilled on or before 28 February                  
    2005 (or such other date as agreed by the parties), failing               
    which the Placing shall cease and terminate.  Application                 
    will be made by the Company to the Stock Exchange for the                 
    listing of and permission to deal in the Placing Shares.                  
                                                                              
    Closing Date:                                                             
                                                                              
    The Placing shall complete at the second Business Day after               
    the fulfillment of the condition of the Placing (or such                  
    later date as may be agreed between the parties to the                    
    Placing Agreement in writing).                                            
                                                                              
    PURPOSES OF PLACING AND USE OF PROCEEDS                                   
                                                                              
    The Company's principal activity is property investment and               
    property leasing.                                                         
                                                                              
    The gross proceeds from the Placing will be approximately                 
    HK$53.64 million and the net proceeds from the Placing of                 
    approximately HK$52.8 million will be used as general                     
    working capital of the Group.                                             
                                                                              
    The Directors expect that the Placing will enhance the                    
    capital base of the Company, thereby broadening the                       
    Company's shareholders base.                                              
                                                                              
    FUND RAISING DURING THE PAST 12 MONTHS                                    
                                                                              
    The Company had not conducted any fund raising exercise                   
    during the past twelve months.