Question 1:

Are you aware of any information not previously announced concerning you (the

issuer), your subsidiaries or associated companies which, if known, might explain the

trading?

Company’s response to Question 1:

The group is constantly seeking M&A opportunities in the normal course of business.

Currently, the Company is negotiating a M&A deal in China. The Company has just

begun discussion and the outcome of the negotiation remains uncertain. As at even

date, no conclusion has been reached. The Company will, in accordance with its

obligations under the listing rules, release announcement as and when appropriate if

there is any binding agreement entered into for the deal.

In the meantime, the Board would like to advise shareholders and the investing

public that this announcement is not to be taken as an indication of the merits of the

Company, its subsidiaries or their securities and the shareholders and investing

public should exercise extreme caution in the dealing of the shares of the Company.

Save as disclose above, the Board is not aware of information not previously