09:40     MEDTECH GROUP<01031>-Announcement & Resumption of Trading(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.                                                     
                                                                              
    This announcement is for information purposes only                        
    and does not constitute an invitation or offer to                         
    acquire purchase or subscribe for any securities.                         
                                                                              
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    MEDTECH GROUP COMPANY LIMITED                                             
    (Incorporated in Bermuda with limited liability)                          
    (Stock Code: 1031)                                                        
                                                                              
    (1) SIGNING OF THE FORMAL SALE AND PURCHASE AGREEMENT                     
    -                                                                         
    THE PROPOSED ACQUISITION OF THE ENTIRE INTEREST IN                        
    HANG HUO HOTEL COMPANY LIMITED                                            
    (VERY SUBSTANTIAL ACQUISITION)                                            
                                                                              
    (2) EXTENSION OF THE LATEST DATE OF COMPLETION                            
    AND DESPATCH OF CIRCULAR -                                                
    THE PROPOSED ACQUISITION OF GRANDVIEW HOTEL                               
    (VERY SUBSTANTIAL ACQUISITION)                                            
                                                                              
    AND                                                                       
                                                                              
    (3) RESUMPTION OF TRADING                                                 
                                                                              
    Financial adviser to Medtech Group Company Limited                        
                                                                              
    Kingston Corporate Finance Limited                                        
                                                                              
    (1)     Signing of Formal Sale and Purchase Agreement                     
    for the proposed acquisition of Hang Huo Hotel                            
                                                                              
    Further to the announcement of the Company dated 19                       
    January 2005 regarding, among other things, the                           
    Provisional Sale and Purchase Agreement for the                           
    Acquisition, the Board is pleased to announce that                        
    on 19 February 2005, Next Champion, a wholly-owned                        
    subsidiary of the Company, and the Vendors entered                        
    into the Formal Sale and Purchase Agreement, which                        
    is based on the principal terms of the Provisional                        
    Sale and Purchase Agreement. The assets under the                         
    Acquisition will include the entire beneficial                            
    interest in Hang Huo Hotel as set out in the                              
    Provisional Sale and Purchase Agreement as well as                        
    the entire beneficial interest in Hang Huo Hotel                          
    Company Limited ("Hang Huo Hotel (HK)") which is a                        
    representative office leasing a shop in Shun Tak                          
    Centre, 168 - 200 Connaught Road Central, Hong Kong                       
    to provide reception and promotional services for                         
    Hotel Casa Real. The Consideration remains unchanged                      
    at HK$1,250,000,000 subject to adjustment.                                
                                                                              
    Completion of the Acquisition, subject to                                 
    Shareholders' approval at the SGM, is expected to take                    
    place on or before 6 April 2005.                                          
                                                                              
    As announced by the Company on 14 February 2005, the                      
    circular containing, amongst other things, further                        
    details of the Acquisition and other disclosures in                       
    connection with the Acquisition required pursuant to                      
    the Listing Rules in respect of very substantial                          
    acquisition, and together with notice of SGM for the                      
    purpose of approving, among other things, the                             
    Acquisition will be despatched to the Shareholders                        
    by 10 March 2005.                                                         
                                                                              
    (2)     Extension of the latest date of completion of