China Mobile International — M&A Activity 2000

Aug 23, 2000

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.

CHINA MOBILE (HONG KONG) LIMITED

(Incorporated in Hong Kong with limited liability under the Companies Ordinance)

ANNOUNCEMENT

The Company's discussions in relation to the acquisition of the mobile phone operations in seven provinces, autonomous region and directly administered municipalities in the PRC of Beijing, Tianjin, Shanghai, Liaoning, Hebei, Shandong and Guangxi (the "Possible Transaction") are on-going.

Further to the announcement dated 23 June 2000, the board of directors (the "Board") of China Mobile (Hong Kong) Limited (the "Company") notes certain articles appearing in the press today relating to the Possible Transaction. This announcement is made at the request of The Stock Exchange of Hong Kong Limited.

The Board wishes to state that the article was not released by, nor its contents based on, official sources of the Company. The Company announces that it continues to be in discussions with China Mobile Communications Corporation in relation to the Possible Transaction. No contractual terms, including price, have been agreed. The Company may require funding for the Possible Transaction (if implemented), which may be satisfied from internal resources, and/or from other forms of funding, including bank borrowings and/or issuance of equity securities and/or debt securities. To date, no financing plan has been finalised and, therefore, the source, timing and amount of such financing, if any, has not been decided.

The Board also confirms that, save as disclosed above, there are no negotiations or agreements relating to intended acquisitions or realisations which are discloseable under paragraph 3 of the Listing Agreement.

In the meantime, shareholders are strongly advised to exercise caution in dealing in the securities of the Company.

	By order of the Board
	CHINA MOBILE (HONG KONG) LIMITED
	Wang Xiaochu
	(Chairman)

Hong Kong, 22 August 2000

Please also refer to the published version of this announcement in the (South China Morning Post)