09:07     INT'L ENT<08118> - 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.                                                     
                                                                              
    INTERNATIONAL ENTERTAINMENT CORPORATION                                   
    (Incorporated in the Cayman Islands with limited                          
    liability)                                                                
    (Stock code: 8118)                                                        
                                                                              
    EXERCISE OF THE PURCHASE OPTION TO ACQUIRE 40%                            
    INTEREST                                                                  
    IN A PROPERTY, HOTEL AND ENTERTAINMENT OPERATION IN                       
    MACAU                                                                     
    (A CONNECTED TRANSACTION AND A VERY SUBSTANTIAL                           
    ACQUISITION CONSIDERED AS AN APPLICATION FOR NEW                          
    LISTING)                                                                  
                                                                              
    Financial Adviser                                                         
                                                                              
    TAI FOOK CAPITAL LIMITED                                                  
                                                                              
    The Board is pleased to announce that on 17 March 2005,                   
    the Company exercised the Purchase Option pursuant                        
    to which the Company will acquire the entire Macau                        
    Interest in accordance with the terms of the                              
    Acquisition Agreement.                                                    
                                                                              
    The consideration attributable to the exercise of the                     
    Purchase Option of HK$363.2 million (subject to                           
    adjustments) will be paid in cash. The initial                            
    consideration was arrived at after arm's length                           
    negotiations among the parties with reference to the                      
    investment cost of the Macau Vendor. The indicative                       
    valuation of the Macau Property as at 28 February 2005                    
    made by Sallmanns (Far East) Limited, an independent                      
    valuer, was about HK$910 million, which was about                         
    HK$842.9 million above the unaudited book value of                        
    the Macau Property (adjusted by the land premium to                       
    be paid) as recorded in the unaudited management                          
    accounts of the Macau Company as at 30 September 2004.                    
                                                                              
    Under the GEM Listing Rules, the Acquisition                              
    (including the exercise of the Purchase Option) will                      
    constitute a connected transaction and a very                             
    substantial acquisition of the Company and the Stock                      
    Exchange has indicated to the Company that it will                        
    treat the Company as a new listing applicant if the                       
    Acquisition proceeds. In this regard, a new listing                       
    application will be submitted to the Stock Exchange                       
    by the Company in due course.                                             
                                                                              
    As Completion is subject to the fulfilment of the                         
    Conditions Precedent including the approval by the                        
    Listing Committee of the new listing application to                       
    be made by the Company as a result of the Acquisition,                    
    the Acquisition may or may not proceed. Investors                         
    should exercise caution when dealing in the Shares.                       
                                                                              
    By order of the board of                                                  
    International Entertainment Corporation                                   
    Cheng Kar Shun                                                            
    Chairman                                                                  
                                                                              
    Hong Kong, 17 March 2005                                                  
                                                                              
    For the purpose of this announcement, the exchange                        
    rate of MOP1.04 = HK$1 has been used.                                     
                                                                              
    As at the date of this announcement, the Board