Major Shareholder:

• Mr. Leung Ngai Man ¡V 37.5% interest

Company Subsidiaries:

• Daliam Dong Gang (100%): Property development
• Dalian AFPMC(PRC) (100%): Provision for property management services
• Access Power (100%): Provision for marketing and sub-contracting services

The Group is engaged principally in the development of residential and commercial properties for sale and investment in Dalian (¤j³s), rapidly developing coastal city in Liaoning Provinces of the PRC.

The leading development project of the Group, Dalian Asia Pacific Finance, is a 28-storey commercial and residential building at No.55 Renmin Road. Zhongshan District, Dalian, a prominent landmark within Dalian's central business district. In addition to Dalian Asia Finance Centre, another development of the Group is Gao Er Ji Road project (°ªº¸°ò¸ô¶µ¥Ø) located in Dalian. Gao Er Ji Road project occupies a site area of approximately 3,855 sq.m with an aggregate GFA of approximately 15,912sq.m and is in the vicinity of the town centre.

The Directors believe that the Group has the following competitive advantages:

• Its early entry into the property market in Dalian;
• Its strategically selected portfolio of development and investment properties located principally in prime urban and/or suburb areas in Dalian;
• Its ability to acquire land at competitive prices in prime urban and/or suburb areas in Dalian;
• Its extensive local knowledge and expertise in investing in, development and marketing properties in Dalian and its extensive in-house capability to oversee the construction process.
• Its experienced management team which is committed to ensure effective quality and cost control as well as timely completion of the Group's development projects;

• Concentration in Dalian;
• Reliance on key management;
• Reliance on major customers;
• Risks relating to the Group's expansion strategy;
• Uninsured loss;

In order to tap into the potential growth in the demand for quality and modern residential and commercial premises in the PRC, the Directors intend to continue to focus on its property development business in Dalian in the near future by employing different strategies for different types of property development. In relation to residential properties, the Directors will focus on the development of medium to large size residential apartments with modern concepts of information technology infrastructure and energy conservation.

In relation to commercial properties, the Directors will after conducting necessary market research, develop the type of commercial buildings, which will be popular in Dalian. The Directors expect that the sales of both residential and commercial properties developed by the Group will continue to generate substantial income for the Grope and offer a high revenue growth for the Group.

Most of the properties developed by the Group are expected to be sold but the Group may also selectively retain a portion of these properties for long term investments to broaden its income base. For rental purposes, the Group intends to retain approximately 20.9% and 9.4% of all commercial and residential units developed respectively for long term investment purpose.

The Directors intends to maintain a land bank in Dalian sufficient to support the Group's future development activities by purchasing more sites to complement the existing property portfolio of the Group.

The net proceeds from the Placing, after deducting the related expenses, are estimated to amount to approximately HK$24.2 million (based on the offer price HK$0.25 per share). The Group at present intends to apply the net proceeds as follows: