09:25     PAK TAK INT'L<02668> - Announcement (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.                                                     
                                                                              
    PAK TAK INTERNATIONAL LIMITED                                             
    (incorporated in Bermuda with limited liability)                          
    (Stock Code: 2668)                                                        
                                                                              
    DISCLOSEABLE TRANSACTION                                                  
                                                                              
    On 10 March 2005, the Purchaser, a wholly-owned                           
    subsidiary of the Company, entered into the Contract                      
    with the Seller to purchase computerized knitting                         
    machines from the Seller for a total consideration                        
    of US$3,333,000 (equivalent to HK$25,997,400). The                        
    consideration for the Acquisition will be satisfied                       
    by the opening of 365 days letter of credit at sight                      
    without interest in favour of the Seller.                                 
                                                                              
    The Acquisition constitutes a discloseable                                
    transaction of the Company and is subject to the                          
    announcement requirement under Chapter 14 of the                          
    Listing Rules. A circular will be despatched as soon                      
    as practicable to the Shareholders containing, among                      
    other things, further details of the Contract.                            
                                                                              
    THE CONTRACT DATED 10 MARCH 2005                                          
                                                                              
    Parties to the Contract                                                   
                                                                              
    Seller: H. Stoll GmbH & Co. KG, a company incorporated                    
    in Germany. After making enquiry with the directors,                      
    the chief executives and the substantial shareholders                     
    of the Company and its subsidiaries (including their                      
    respective associates) and other connected persons                        
    of the Company, the Directors confirm that save and                       
    except for purchasing the computerized knitting                           
    machines from them, the Group has no other                                
    relationship with the Seller. To the best of the                          
    Directors' knowledge, information and belief having                       
    made all reasonable enquiry, the Seller and its                           
    ultimate beneficial owners are not connected with the                     
    directors, the chief executives or the substantial                        
    shareholders of the Company or any of its subsidiaries                    
    or their respective associates and are third parties                      
    independent of the Company and connected persons of                       
    the Company                                                               
                                                                              
    Purchaser:      Pak Tak Knitting & Garment Factory Limited,               
    a company incorporated in Hong Kong and is a                              
    wholly-owned subsidiary of the Company                                    
                                                                              
    Subject matter of the Contract                                            
                                                                              
    Pursuant to the Contract, the Purchaser agreed to                         
    purchase and the Seller agreed to sell computerized                       
    knitting machines for the production of knitted                           
    garments to the Purchaser for a total consideration                       
    of US$3,333,000 (equivalent to HK$25,997,400). The                        
    said machines are all brand new machines to be                            
    imported from Germany and no revenue has been                             
    generated by these machines in the past. No valuation                     
    on the machines has been done. However, the Directors                     
    have enquired about the price offered by different                        
    companies for selling the same type and same                              
    specifications computerized knitting machines as the                      
    Seller and base on the information