09:57     BJ CAPITAL LAND<02868> - Announcement (4)                           

    discrepancies.                                                            
                                                                              
    Reasons for the Placing                                                   
                                                                              
    In view of the current market conditions, the Directors consider that     
    the Placing represents a good opportunity for the Company to raise        
    further financing. The Directors also consider that it is beneficial      
    to the Company to broaden its shareholder and capital base.               
                                                                              
    The sale of the Selling Shareholder Placing Shares by the Seller is       
    made pursuant to the PRC Interim Measures on Selling of State-owned       
    Shares for Raising Social Security Funds and the entire net proceeds      
    from the sale will be remitted to the PRC National Social Security        
    Fund.                                                                     
                                                                              
    Beijing Sunshine is a promoter of the Company and a wholly-owned          
    subsidiary of The Capital Group. The Selling Shareholder Placing          
    Shares were allocated to the PRC National Social Security Fund by         
    Beijing Sunshine. Accordingly, Beijing Sunshine is providing certain      
    representations, warranties and undertakings to the Placing Agent in      
    respect of the Selling Shareholder Placing Shares.                        
                                                                              
    Use of Proceeds                                                           
                                                                              
    The amount to be raised from the Placing by the Company will be           
    approximately HK$210 million, after deducting the commission of the       
    Placing Agent and the expenses relating to the Placing. Hence, the net    
    placing price per H Share will be approximately HK$2.05. The Company      
    will not receive any proceeds from the sale of the Selling Shareholder    
    Placing Shares.                                                           
                                                                              
    The net proceeds will be applied by the Company as follows:               
                                                                              
    (1)        as to approximately HK$200 million for the development and     
    construction of Nos. 1 and 2 Residential Buildings and their related      
    supporting projects at Shilipu, Chaoyang Road in Beijing, the PRC; and    
                                                                              
    (2)        as to the remaining balance will be used for general           
    working capital.                                                          
                                                                              
    As set out under the section "Reasons for the Placing" above, the         
    entire net proceeds from the sale of the Selling Shareholder Placing      
    Shares by the Seller will be remitted to the PRC National Social          
    Security Fund.                                                            
                                                                              
    Equity Fund Raising activities of the Company in the past twelve-month    
    period                                                                    
                                                                              
    The Company has not conducted any equity fund raising activities in       
    the past twelve-month period immediately before the date of this          
    announcement.                                                             
                                                                              
    Application for Listing                                                   
                                                                              
    An application has been made to the Listing Committee of the Stock        
    Exchange for listing of, and permission to deal in, the Placing Shares    
    on the Stock Exchange.                                                    
                                                                              
    Definitions                                                               
                                                                              
    "Beijing Sunshine"        * (Beijing Sunshine                             
    Real Estate Comprehensive Development Company), a state-owned             
    enterprise established under the laws of the PRC and a promoter of the    
    Company                                                                   
                                                                              
    "Board"        The board of Directors                                     
                                                                              
    "Company"        *(Beijing Capital Land Ltd.), a                          
    joint stock limited company incorporated in the PRC with limited          
    liability, the H Shares of which are listed on the main board of the      
    Stock Exchange                                                            
                                                                              
    "Completion"        The completion of the Placing Agreement               
                                                                              
    "Director(s)"        Director(s) of the Company                           
                                                                              
    "Group"        The Company together with its subsidiaries                 
                                                                              
    "H Shares"        Overseas listed foreign Shares in the share capital     
    of the Company