09:34     EGANAGOLDPFEIL<00048>-Announcement & Resumption of Trading-2        

    Assets              Profit    Profit    Asset     Term      Term          
                        before    after     Value     Liabiliti Liabiliti     
                        taxation  taxation            es        es            
                                                                              
    EUR47.7   EUR77.9   EUR2.43   EUR1.36   EUR27     EUR17.8   Nil           
    million   million   million   million   million   million                 
    (HK$489.5 (HK$799.5 (HK$24.9  (HK$13.96 (HK$277   (HK$182.7               
    8                   million)            million)                          
    million)  million)  for the   million)            million)                
                        year      for the                                     
                        ended     year                                        
                        31/12/200 ended                                       
                        4         31/12/200                                   
                                  4                                           
                        EUR1.2    EUR0.72                                     
                        million   million                                     
                        (HK$12.3  (HK$7.4                                     
                        million)  million)                                    
                        for the   for the                                     
                        year      year                                        
                        ended     ended                                       
                        31/12/200 31/12/200                                   
                        3         3                                           
                                                                              
                                                                              
                                                                              
    Consideration                                                             
    The total purchase price for the acquisition of the SSG Subsidiaries      
    is EUR15.73 million (HK$161.4 million). The purchase price was            
    determined by reference to the price earnings multiple of 6.5x.           
    Normally, the retail stores require renovation after 7 years of           
    operation for substaining income stream, which translates into an         
    effective price earnings multiple of 7x. The purchase price is            
    payable by Ganymed to Dr. Hefermehl in cash on 31st March, 2005.          
                                                                              
    SALE AND PURCHASE AGREEMENT FOR ACQUISITION OF LEATHER FOOTWEAR           
    PRODUCTS AND ASSETS FROM SALAMANDER GERMANY (`SALAMANDER GERMAN           
    INVENTORIES AND ASSETS AGREEMENT')                                        
                                                                              
    Date                 :                    3rd March, 2005                 
    Parties              :                                                    
    Purchaser            :                    Ganymed                         
    Seller               :                    Dr. Hefermehl                   
                                                                              
                                                                              
                                                                              
    Dr. Hefermehl, the Insolvency Administrator of SSHG, acts as the          
    Seller. The business activity of SSHG is the marketing, trading and       
    retailing of certain branded leather footwear and related products        
    under a network of outlets bearing the name of `Salamander' and it        
    had over 90 retail shops in Germany in 2004.                              
                                                                              
    SSHG is an independent third party of the Company and not connected       
    with any connected persons of the Company (as defined in the Listing      
    Rules).                                                                   
                                                                              
    Assets to be acquired                                                     
    Pursuant to the Salamander German Inventories and Assets Agreement,       
    Ganymed agreed to enter leases for 52 shops out of 90 shops operated      
    by SSHG, for integration into the Company's established distribution      
    and retailing network in Germany. In Germany, the Company currently       
    has a network of 3,000 points of sales. The aggregate annual rental       
    of the leases for the 52 shops amounts to EUR12 million (HK$123.2         
    million) and the term of the leases are usually for three years.          
                                                                              
    In addition, Ganymed agreed to purchase from SSHG the Salamander          
    German Movable Fixed Assets (such as the electronic devices and           
    computer system and all the other peripheral items) and Salamander        
    German Inventories. The book values of the Salamander German Movable      
    Fixed Assets and Salamander German Inventories as at 31st December,       
    2004 are amounted to EUR2 million (HK$20.5 million) and EUR9.5            
    million (HK$97.5 million) respectively as determined by SSHG,             
    verified by the Company's German auditor through the Due Diligence        
    review exercise and accepted by the Company's management in Germany       
    through an open and arm's length negotiation process.                     
                                                                              
    As at 31st December, 2004 and for the financial year ended 31st           
    December, 2004, the Salamander German Movable Fixed Assets,               
    Salamander German Inventories, Turnover and Gross Profit of 52 Retail     
    Shops operated by SSHG amounted to approximately EUR2 million (HK20.5     
    million), EUR9.5 million (HK$97.5 million), EUR7.15 million (HK$73.4      
    million) and EUR4.25 million (HK$43.6 million) respectively.              
                                                                              
    Consideration                                                             
    The purchase prices for the Salamander German Movable Fixed Assets        
    and Salamander German Inventories are EUR2 million (HK$20.5 million)      
    and EUR9.5 million (HK$97.5 million) respectively. The purchase           
    prices were determined by reference to their book values.                 
                                                                              
    The purchase prices are payable by Ganymed in cash to Dr. Hefermehl       
    on 31st March, 2005.                                                      
                                                                              
    TRADEMARK AGREEMENT                                                       
    Date                 :                    3rd March, 2005