09:18     QUALITY HEALTH<00593> - Announcement                                

    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.                                                             
                                                                              
    Quality HealthCare Asia Limited                                           
    (Incorporated in Bermuda with limited liability)                          
    (Stock Code: 593)                                                         
    (website: www.qualityhealthcareasia.com)                                  
                                                                              
    Adjustment to the Subscription Price of Warrants                          
                                                                              
    The Company announces the adjustment to the subscription price            
    of the Warrants from HK$2.50 per Share to HK$2.46 per Share in            
    accordance with the Warrant Instrument. The adjustment to the             
    Subscription Price of the Warrants becomes effective on 10 May            
    2005.                                                                     
                                                                              
    Reference is made to the announcements of the Company dated 24            
    January 2005, 8 February 2005, 28 February 2005, 3 March 2005,            
    23 March 2005 and 7 April 2005 and the offer document of the              
    Company dated 3 March 2005 (the "Offer Document") despatched              
    to the Shareholders regarding the detailed terms of the Offer.            
    Unless the context requires otherwise, terms used herein shall            
    have the same meanings as those defined in the Offer Document.            
                                                                              
    In accordance with the terms of the agreement constituting the            
    instrument dated 30 December 2003 issued by the Company (the              
    "Warrant Instrument") constituting the Warrants exercisable up            
    to and including 13 January 2007, the Directors have determined           
    that the subscription price of the Warrants (the "Subscription            
    Price") shall be adjusted from HK$2.50 per Share to HK$2.46 per           
    Share. The adjustment to the Subscription Price becomes                   
    effective on 10 May 2005 as a result of the repurchase of                 
    21,667,288 Shares under the Offer. Pursuant to the Warrant                
    Instrument, the Company has appointed Ernst & Young, the auditors         
    of the Company, to review the basis of the Directors'                     
    determination of the adjustment to the Subscription Price and             
    to certify whether or not the adjustment to the Subscription              
    Price is appropriate. In this regard, Ernst & Young has issued            
    a letter (the "Certificate Letter") to the Directors dated 10             
    May 2005 in which Ernst & Young certified that the adjustment             
    and the manner of adjustment to the Subscription Price is                 
    appropriate.                                                              
                                                                              
    The Certificate Letter is available for inspection during normal          
    business hours at the principal place of business of the Company          
    in Hong Kong at 6/F., China Merchants Steam Navigation Building,          
    303-307 Des Voeux Road Central, Sheung Wan, Hong Kong so long             
    as the Warrants remain exercisable.                                       
                                                                              
    On behalf of the Board                                                    
    Quality HealthCare Asia Limited                                           
    Mark Wong Tai Chun                                                        
    Executive Director                                                        
    Hong Kong, 10 May 2005                                                    
                                                                              
    As at the date of this announcement, the executive directors              
    of the Company are Mr. Arthur George Dew, Dr. Lincoln Chee Wang           
    Jin and Mr. Mark Wong Tai Chun, the non-executive directors of            
    the Company are Mr. Richard Owen Pyvis and Mr. Brian Damian               
    O'Connor and the independent non-executive directors of the               
    Company are Mr. Li Chak Hung, Mr. Carlisle Caldow Procter and             
    Mr. Chang Chu Fai Johnson Francis.