09:20     MAGNUM INT'L<00305> - Announcement                                  

    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.               
                                                                              
    Magnum International Holdings Limited                                     
    (incorporated in Bermuda with limited liability)                          
    (Stock code: 305)                                                         
                                                                              
    Possible change in controlling shareholder of the Company                 
                                                                              
    The Board wishes to inform shareholders that negotiations are             
    currently taking place between the Company's controlling shareholder      
    and a potential investor relating to the possible acquisition of the      
    controlling shareholder's entire interest and all shareholders'           
    loans in the Company.  There is no agreement signed and no terms are      
    agreed at the moment. There can be no assurance that the negotiations     
    will be concluded or that the Proposal will be implemented.               
                                                                              
    Persons dealing in the securities of the Company are advised to           
    exercise caution.                                                         
                                                                              
    The Board of Directors of the Company would like to inform                
    shareholders that negotiations are currently taking place between the     
    Company's controlling shareholder, Magnum (Guernsey) Limited, which       
    is the holder of approximately 51.54% of the Company's issued shares,     
    and a potential investor relating to the possible acquisition of the      
    controlling shareholder's entire shareholding interest and                
    shareholders' loans in the Company (the ``Proposal''). The potential      
    investor and its ultimate beneficial owners are independent of and        
    not connected with the Company and its associates (as defined in the      
    Listing Rules).                                                           
                                                                              
    There is no agreement signed and no terms are agreed at the moment.       
    Should the Proposal be implemented as currently structured, it is         
    likely that a general offer will be required to be made on the            
    potential investor's behalf to the Company's shareholders. There can      
    be no assurance that the negotiations will be concluded or that the       
    Proposal will be implemented.                                             
                                                                              
    A further announcement will be made in due course as required by the      
    Hong Kong Code on Takeovers and Mergers and the Listing Rules.            
                                                                              
    In the meantime, persons dealing in the securities of the Company are     
    advised to exercise caution.                                              
                                                                              
    By order of the Board                                                     
    Ooi Sin Heng                                                              
    Director                                                                  
                                                                              
    Hong Kong, 31 January, 2005                                               
                                                                              
    The directors of the Company jointly and severally accept full            
    responsibility for the accuracy of the information contained in this      
    announcement and confirm, having made all reasonable enquiries that,      
    to the best of their knowledge and belief, opinions expressed in this     
    announcement have been arrived at after due and careful consideration     
    and there are no other facts not contained in this announcement, the      
    omission of which would make any statement in this announcement           
    misleading.                                                               
                                                                              
    At the date of this announcement, the Board comprises Mr Lim Teong        
    Leong, Mr Tam Cheok Wing, Mr Ooi Sin Heng and Mr Chan Hon Ming as         
    executive directors and Mr Wong Ming Shiang, Mr Lim Eng Ho and Mr Soo     
    Tho Him Yip as independent non-executive directors.