09:27     CHINA UNITED<00273> - Announcement (3)                              

    The net proceeds of the placing was HK$4 million and were used for        
    general working capital purposes.                                         
                                                                              
    The Company issued Convertible Notes and the FM Convertible Notes in      
    the amount of HK$100 million each on 28th February 2005. The net          
    proceeds of the Convertible Notes has been applied to redeem the Old      
    Convertible Notes and fund the cash portion of the New Found Macau        
    Loan as mentioned in the Circular. The FM Convertible Notes have          
    already issued to satisfy the balance of the New Found Macau Loan as      
    mentioned in the Circular.                                                
                                                                              
    Save as mentioned in above, the Company has not raised any fund for       
    the past 12 months.                                                       
                                                                              
    Principle Business Of The Group                                           
    The Group is principally engaged in investment holding. The               
    principle activities of the Group include property investments,           
    investment holding, investment in trading securities, provision of        
    brokerage and financial services and the investment in gambling,          
    entertainment and related business in Macau through the investment in     
    Found Macau. However, to the best knowledge of the Board, Found Macau     
    has not made any investment in Macau yet.                                 
                                                                              
    Shareholding Structure                                                    
                              Shareholding              Shareholding          
                               before the                after the            
                              Placing                   Placing               
                 Shares       % of         Shares       % of                  
                              shareholding              shareholding          
                                                                              
    Name of                                                                   
    Shareholders                                                              
    Radford      250,000,000  16.54%       250,000,000  14.00%                
    Developments                                                              
     Limited                                                                  
    (Notes 1                                                                  
    and                                                                       
    2)                                                                        
                                                                              
    Public                                                                    
    Shareholders                                                              
    Heritage     140,998,163  9.33%        140,998,163  7.90%                 
    Internationa                                                              
    l Holdings                                                                
    Limited                                                                   
    (Notes 1                                                                  
    and                                                                       
    3)                                                                        
    Radford      138,275,363  9.15%        138,275,363  7.75%                 
    Capital                                                                   
    Investment                                                                
    Limited                                                                   
    (Notes 1                                                                  
    and                                                                       
    3)                                                                        
    Unity        130,400,000  8.63%        130,400,000  7.30%                 
    Investments                                                               
    Holdings                                                                  
    Limited                                                                   
    (Notes 1                                                                  
    and                                                                       
    3)                                                                        
    Others       851,648,726  56.35%       1,125,648,72 63.05%                
    (Note                                  6                                  
    3)                                                                        
            -------------------------------------------------------           
    Total        1,511,322,25 100%         1,785,322,25 100%                  
                 2                         2                                  
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    Note 1:                                                                   
    Based on the register maintained by the Company pursuant to Section       
    352 of the Securities and Futures Ordinance as at the date of this        
    announcement                                                              
                                                                              
    Note 2:                                                                   
    These shares were held by Radford Developments Limited which is           
    controlled by a trust with the son of Mr. Chuang Yueheng, Henry, the      
    Chairman of the Company, currently named as the beneficiary.              
                                                                              
    Note 3:                                                                   
    Heritage International Holdings Limited (Stock Code: 412) and             
    Radford Capital Investments Limited (Stock Code: 901) and Unity           
    Investments Holdings Limited (Stock Code: 913) are public                 
    shareholders, with the meaning of the Listing Rules.                      
                                                                              
                                                                              
    General                                                                   
    The Placing Agent and the Financial Adviser are the wholly owned          
    subsidiaries of HMI which is the associated company of the Company.       
    The Placing Agent is principally engaged in the provision of the          
    brokerage business. The Financial Adviser is principally engaged in