10:37     <00275> & <00235>-Joint Ann. & <00235> Resumed (9)                  

    Further announcements will be made as soon as practicable in respect      
    of the timetable for the Capital Reorganisation.                          
                                                                              
    CHANGE OF BOARD LOT SIZE                                                  
                                                                              
    At present, the China Strategic Shares are traded in board lots of        
    2,500. The China Strategic Board also proposes a change in the board      
    lot for trading to 5,000 Consolidated China Strategic Shares upon the     
    Capital Reorganisation having become effective. Based on the closing      
    price of the China Strategic Shares of HK$0.54 on the Last Trading Day    
    and the existing board lot size of 2,500 China Strategic Shares, the      
    prevailing board lot value is HK$1,350. On the basis of the aforesaid     
    closing price and the new board lot size of 5,000 Consolidated China      
    Strategic Shares, the new board lot value will be HK$5,400. The change    
    in board lot size will result in the Consolidated China Strategic         
    Shares being traded in a more reasonable board lot size and value.        
                                                                              
    Further announcements will be made as soon as practicable in respect      
    of the details of arrangements of the free exchange of share              
    certificates of China Strategic once the Capital Reorganisation and       
    change of board lot size have become effective.                           
                                                                              
    POSSIBLE VOLUNTARY OFFER FOR THE GDI SHARES                               
                                                                              
    Assuming no China Strategic Shares will be issued after the date of       
    this announcement, upon completion of the China Strategic Group           
    Reorganisation, China Strategic will have 440,797,543 Consolidated        
    China Strategic Shares in issue and on this basis, 440,797,543 GDI        
    Shares will be distributed to the China Strategic Shareholders whose      
    names appear on the register of members of China Strategic on the         
    Record Date. Based on the shareholding structure of China Strategic as    
    at the date of this announcement, Paul Y and Hanny will each be           
    indirectly interested in a total of 129,409,897 GDI Shares, which will    
    represent approximately 29.4% of the expected issued share capital of     
    GDI. As such, the aggregate GDI Shares which will be indirectly owned     
    by Hanny, Paul Y and their concert parties will amount to 258,819,794     
    GDI Shares, representing approximately 58.8% of the issued share          
    capital of GDI upon completion of China Strategic Group                   
    Reorganisation.                                                           
                                                                              
    As at the date of this announcement, ITC is interested in                 
    approximately 20.5% of the issued share capital of Hanny and is a         
    substantial shareholder of Hanny. As at the date of this announcement,    
    ITC is interested in approximately 49.6% of the issued share capital      
    of Paul Y and is the controlling shareholder of Paul Y. Accordingly,      
    Paul Y, an associate of ITC, is a connected person of Hanny. Given        
    ITC's interests in Hanny and Paul Y, the GDI Offer constitutes a          
    connected transaction for Hanny under the Listing Rules and is            
    therefore subject to the approval of the Independent Hanny                
    Shareholders. Depending on the pro forma financial information of the     
    GDI Group after completion of the China Strategic Group                   
    Reorganisation, the GDI Offer may also constitute a very substantial      
    acquisition for Hanny.                                                    
                                                                              
    Given that the GDI Shares will not be listed on the Stock Exchange        
    upon completion of the China Strategic Group Reorganisation, the          
    directors of Hanny consider that it is appropriate to provide the         
    Independent China Strategic Shareholders with an opportunity to           
    realise their investments in GDI by making the GDI Offer. Subject to      
    the approval by the Independent Hanny Shareholders of the GDI Offer       
    and completion of the China Strategic Group Reorganisation, Somerley      
    will, on behalf of Well Orient (an indirect wholly-owned subsidiary of    
    Hanny), make a voluntary offer to the shareholders of GDI to acquire      
    all the GDI Shares, other than those then owned or agreed to be           
    acquired by Well Orient, its associates and parties acting in concert     
    with it (but the GDI Offer will be extended to Paul Y), on the terms      
    to be set out in the composite offer and response document in relation    
    to the GDI Offer and the accompanying form of acceptance and transfer     
    on the following basis:                                                   
                                                                              
    Option 1:                                                                 
                                                                              
    For every five GDI Shares*         one Hanny Share plus HK$1.8 in cash    
                                                                              
    Option 2:                                                                 
                                                                              
    For every five GDI Shares*         one Hanny Bond with face value of      
    HK$15.0                                                                   
                                                                              
    *        The GDI Shares will be issued based on the number of the         
    Consolidated China Strategic Shares in issue on the Record Date.          
                                                                              
    Independent China Strategic Shareholders and Paul Y can either accept