10:39     MAGNUM INT'L<00305>-Announcement&Resumption of Trading (7)          

    Total consideration                                                       
                                                                              
    Assuming that there is no change in the issued share capital of the       
    Company as a result of the exercise of any Options prior to the making    
    of the Offers, at a price of HK$0.04735 per Share, the entire issued      
    share capital of the Company with 615,024,175 Shares in issue is          
    valued at approximately HK$29,121,395 under the Share Offer and all       
    the Shares subject to the Share Offer are valued at approximately         
    HK$14,112,691. Assuming that all the 20,100,000 outstanding Options       
    at a price of HK$0.001 per Option to acquire one Share are tendered,      
    the consideration payable by Unichina under the Option Offer is           
    HK$20,100.                                                                
                                                                              
    Assuming that all the outstanding Options for the issue of an             
    aggregate of 20,100,000 Shares are fully exercised prior to the making    
    of the Offers, there will be 635,124,175 Shares in issue and the entire   
    issued share capital of the Company is valued at approximately            
    HK$30,073,130 under the Share Offer, and all the Shares subject to        
    the Share Offer are valued at approximately HK$15,064,426. Celestial      
    Capital, as the financial adviser to Unichina, is satisfied that there    
    are sufficient financial resources available to Unichina to meet its      
    obligation in case of a full acceptance of the Offers.                    
                                                                              
    Effect of accepting the Offers                                            
                                                                              
    By accepting the Share Offer and upon the Share Offer becoming            
    unconditional, Shareholders will sell their Shares to Unichina free       
    from all liens, charges, claims, encumbrances and any third party         
    rights together with all rights attaching to them, including the          
    rights to receive all dividends and distribution declared, made or        
    paid at or after the date on which the Offers are made, i.e. the date     
    of posting of the composite document to be issued by Unichina and the     
    Company jointly in connection with the Offers. By accepting the Option    
    Offer, the Optionholders will surrender and give up the subscription      
    rights attaching to the Options.                                          
                                                                              
    Stamp duty                                                                
                                                                              
    Seller's ad valorem stamp duty arising in connection with acceptance      
    of the Share Offer amounting to 0.1% of the amount payable in respect     
    of the relevant acceptance will be deducted from the amount payable       
    to the Shareholders who accept the Share Offer. Unichina will bear        
    its own portion of buyer's ad valorem stamp duty at the rate of 0.1%      
    of the amount payable in respect of relevant acceptances and will be      
    responsible to account to the Stamp Office of Hong Kong the stamp duty    
    payable for the sale and purchase of the Shares.                          
                                                                              
    Payment                                                                   
                                                                              
    Payment in cash in respect of acceptances of the Offers will be made      
    within ten days of the date on which the relevant documents of title      
    are received by Unichina to render each such acceptance complete and      
    valid, or of the Offers become unconditional, whichever is later.         
                                                                              
    Information on the Group                                                  
                                                                              
    The Company is a company incorporated in Bermuda with limited             
    liability and has been listed on the main board of the Stock Exchange     
    since 23 November 1992. The Group is principally engaged in investment    
    holding, property investment, securities dealing and brokerage,           
    money lending and margin finance.                                         
                                                                              
    Information on Unichina and its intention regarding the Group             
                                                                              
    Unichina is an investment holding company incorporated in the British     
    Virgin Islands with limited liability on 2 January 2002 and the entire    
    issued share capital of which is owned by Mr. Wong Kwong Miu. Mr. Wong    
    Kwong Miu is also the sole director of Unichina.                          
                                                                              
    None of Unichina, its beneficial owner and parties acting in concert      
    with any of them has dealt in any Shares or any options, warrants,        
    derivatives or securities convertible into Shares during the period       
    commencing on the date falling six months prior to the date of the        
    Sale and Purchase Agreement and up to the date of this announcement,      
    save for (i) the entering into of the Sale and Purchase Agreement and     
    the Subscription Agreement by Unichina; and (ii) the entering into        
    of the Previous Agreements, which were subsequently terminated on 8       
    April 2005; and (iii) dealings in the Shares for the account of           
    non-discretionary clients by the brokerage division of a fellow           
    subsidiary of Celestial Capital.