Hong Kong, September 24, 2001 - An established gourmet brand in Chinese cuisine, bakery and food products, Kamboat Group today announced the placing of 103.5 million shares to professional and institutional investors and 11.5 million shares for public subscription between September 25 and 28, 2001.

Based on the offer price of HK$0.5, the Company will have a market capitalization of HK$230 million. Historical price/earning multiple is about 7 times on a pro forma basis. Trading will commence on the main board of the Stock Exchange of Hong Kong on Tuesday, October 9, 2001 (stock code: 318).

Founded in 1992 by the Chairman and Managing Director of the Group, Mr Raymond Wong Chi Man, Kamboat has developed into a renowned gourmet brandname synonymous with innovation and quality in Chinese cuisine, bakery and food products.

The Group at present operates 5 Chinese restaurants, 23 bakery outlets with 3 production facilities in Hong Kong. Since the commencement of its business almost a decade ago, the Group has successfully established a trendy and innovative corporate image by regularly offering new stlye Chinese cuisine, bakery and food products to the market.

"We have successfully established a brandname, Kamboat, which becomes synonym of innovation and quality of food. The Group leverages on its reputation and well-known brandname for future planning and development. Kamboat's record of fast-growing performance in the Hong Kong market lays the foundation for expansion. In addition to our plan to continue the horizontal expansion of Kamboat's network of restaurant chain and bakery outlets, we shall develop an extensive and varied food and beverage product range with local and international appeal." Said Mr Raymond Wong.

"We are ready to release the Kamboat brand value to capture the potential in cross border and overseas market. Looking into the future, we are expanding the production facilities in the PRC for building a cost-effective manufacturing base and hence placing the Group in a better position to pursue our long term expansion plan. Committed to a culture of innovation and creative development in our food and beverage services and production, our management is driving Kamboat forward to the goal of building a world brand with global vision in the food industry. We envision Kamboat will become a brandname not only of restaurant chain, or bakery products, but also of, maybe, cookies, drinks or convenience food in the ensuing years." Continued Mr Wong.

The net proceeds from the issue of new shares will amount to HK$43.5 million. To be in a better position to increase the market share of its services and products and to implement its plans, the Group intends to utilize HK$20 million from the proceeds to open new Chinese restaurants and bakery outlets in Hong Kong, HK$12 million for the establishment of bakery and other food products production facilities in the PRC, HK$3 million for marketing and advertising activities of the Group and HK$8.5 million for the general working capital of the Group.

Kingston Corporate Finance Limited is the sponsor of the IPO of Kamboat, with Kingston Securities Limited, Worldsec International Limited, CSC Securities (HK) Limited and JS Cresvale International Limited as joint lead managers. Underwriters include Kingston Securities Limited, Worldsec International Limited, CSC Securities (HK) Limited, JS Cresvale Securities Limited, Mansion House International Limited, Kingsway SW Securities Limited, Young Champion Securities Limited, Nomura International (Hong Kong) Limited, Sun Hung Kai International Limited and Luen Fat Securities Company Limited.

Share Offer Statistics (based on the offer price of HK$0.5 per share)

Market capitalization	HK$230 million
Historical price/earning multiple	7.09 times
Proforma dividend yield	3.75%
Adjusted net tangible asset value per share	25.78 cents