10:21     SHIMAO CHINA<00649> - Announcement & Resumption (16)                

    to the public in Hong Kong, placing of Offer Shares                       
    to institutional, professional and individual                             
    investors in Hong Kong and other jurisdictions and                        
    offering of SPHL Offer Shares to the Qualifying                           
    Shareholders under the Preferential Offer. The                            
    Reserved Shares are expected to form part of the                          
    placing.                                                                  
                                                                              
    The Proposed SPHL Offering is conditional upon                            
    (amongst other things):                                                   
                                                                              
    (a)     the Listing Committee granting formal approval                    
    for the listing of, and permission to deal in, all                        
    the SPHL Shares in issue and to be issued;                                
                                                                              
    (b)     the Underwriting Agreements having been                           
    executed and the obligations of the underwriters                          
    under the Underwriting Agreements becoming                                
    unconditional and not being terminated in accordance                      
    with the terms of such agreements or otherwise;                           
                                                                              
    (c)     the Reorganisation becoming unconditional in                      
    all respects.                                                             
                                                                              
    The Proposed SPHL Offering will not proceed if the                        
    above conditions are not satisfied, whereupon further                     
    announcement(s) will be made to keep Shareholders                         
    informed of the developments.                                             
                                                                              
    The Preferential Offer                                                    
    It is expected that, subject to the Listing Committee                     
    of the Stock Exchange granting formal approval for                        
    the listing of, and permission to deal in, the SPHL                       
    Shares in issue and to be issued under the Proposed                       
    SPHL Offering on the main board of the Stock Exchange,                    
    and the fulfilment of other conditions, as mentioned                      
    in the section headed "The Proposed SPHL Offering"                        
    above, Qualifying Shareholders will be invited to                         
    participate in the Proposed SPHL Offering by applying                     
    for a set number of Reserved Shares on an assured                         
    basis.                                                                    
                                                                              
    With a view to maintaining at least the minimum                           
    prescribed percentage of SPHL Shares in the hands of                      
    the public in compliance with the Listing Rules                           
    immediately after the Proposed SPHL Offering, it is                       
    expected that no Reserved Shares under the                                
    Preferential Offer will be offered to Overseas                            
    Investment and its associates. As a result, the                           
    Company understands that it is currently proposed                         
    that the Qualifying Shareholders, other than Overseas                     
    Investment and its associates, will be given an                           
    assured entitlement to subscribe for one Reserved                         
    Share for every whole multiple of six Shares held by                      
    them at the close of business on the Record Date,                         
    subject to a minimum holding to be determined (which                      
    shall not be more than 6,000 Shares). The Company will                    
    publish an announcement on or after the Record Date                       
    confirming Qualifying Shareholders' entitlement to                        
    apply for the Reserved Shares.                                            
                                                                              
    In connection with the Proposed SPHL Offering, the                        
    price of the SPHL Offer Shares may be stabilised in                       
    accordance with the Securities and Futures (Price                         
    Stabilising) Rules (Chapter 517W of the Laws of Hong                      
    Kong). Details of any intended stabilisation and how                      
    it will be regulated under the Securities and Futures                     
    Ordinance (Chapter 571 of the Laws of Hong Kong) will                     
    be contained in the listing document in relation to                       
    the Proposed SPHL Offering.                                               
                                                                              
    WARNING: The Listing Committee has not given its