09:00 IMERCHANTS<08009> - Unusual volume movement This announcement is made at the request of The Stock Exchange of Hong Kong Limited. 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. iMerchants Limited (incorporated in Hong Kong with limited liability under the Companies Ordinance) (Stock code: 8009) ANNOUNCEMENT We have noted the increase in the trading volume of the shares of iMerchants Limited (the "Company")today and wish to state that we are not aware of any reasons for such increase save as disclosed below. iMerchants Asia Limited, a wholly owned subsidiary of the Company, has entered into the share subscription agreement ("Share Subscription") with eBANK Corporation ("eBANK") on 24 March 2005, a licensed bank incorporated in Japan to subscribe 1,000 new ordinary shares of eBANK, which represents approximately 0.18% of the enlarged issued ordinary share capital of eBANK as at 24 March 2005, for a total consideration of JPY140,000,000 (approximately HK$10,500,000). The Share Subscription will constitute a discloseable transaction of the Company under Rule 19.06 of the GEM Listing Rules. An announcement will be made as soon as practicable to disclose the details of the Share Subscription. Except for the above, we confirm that there are no negotiations or agreements relating to intended acquisitions or realizations which are discloseable under Chapters 19 and 20 of the GEM Listing Rules, neither is the board of directors (the "Board") aware of any matter discloseable under the general obligation imposed by Rule 17.10 of the GEM Listing Rules, which is or may be of a price-sensitive nature. Made by the order of the Board, the directors of which collectively and individually accept responsibility for the accuracy of this announcement. By order of the Board Clement Leung Yuen Wing Company Secretary Hong Kong, 29 March 2005 The Directors of the Company as at the date of this announcement are as follows: Executive Directors: Mr. Leroy Kung Lin Yuen (Chairman) Ms. Lena Foo Mr. Edward Un Independent Non-executive Directors: Dr. Alice Piera Lam Lee Kiu Yue Mr. Kenneth Tseung Yuk Hei Mr. Matthew P. Johnston Non-executive Director: Mr. Ronny Chow Fan Chim This announcement, for which the directors of the Company collectively and individually accept full responsibility, includes particulars given in compliance with the Rules Governing the Listing of Securities on the Growth Enterprise Market of The Stock Exchange of Hong Kong Limited for the purpose of giving information with regard to the Company. The directors of the Company, having made all reasonable enquiries, confirm that, to the best of their knowledge and belief, (1) the information contained in this announcement is accurate and complete in all material respects and not misleading; (2) there are no other matters the omission of which would make any statement in this announcement misleading; and (3) all opinions expressed in this announcement have been arrived at after due and careful consideration and are founded on bases and assumptions that are fair and reasonable. This announcement will remain on the GEM website on the " Latest Company Announcements" page for 7 days from the date of its posting.