ICO Group Limited — Capital/Financing Update 2016

Jul 12, 2016

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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(Incorporated in Bermuda with limited liability)

(Stock Code : 630)

CHANGE IN USE OF PROCEEDS

Reference are made to the circular of the Company dated 2 November 2015 (“ Circular ”) in relation to the SM Placing and the announcement of the Company dated 18 April 2016 (“ Announcement ”). Unless the context otherwise requires, capitalised terms used in this announcement shall have the same meanings as defined in the Announcement.

As disclosed in the Circular and the Announcement, approximately HK$84.5 million of the net proceeds from the SM Placing (“ ACEE SM Placing Proceeds ”) will be used for the business development of ACE Engineering Limited (“ ACE Engineering ”), which is a whollyowned subsidiary of the Company and principally engaged in building construction, building maintenance and improvement works, project management, renovation and decoration works in Hong Kong. Since the completion of the SM Placing in November 2015 and up to the date of this announcement, approximately HK$1.2 million was used for the business operations of ACE Engineering and HK$15.3 million was used for the subscription of 14% equity interest in a company principally engaged in the provision of interior design, fit out and decoration services as disclosed in the Announcement. As at the date of this announcement, approximately HK$68.0 million of the ACEE SM Placing Proceeds remain unutilised (“ Unutilised ACEE SM Placing Proceeds ”).

• For identification purposes only

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While, as disclosed in the profit warning announcement of the Company dated 22 June 2016, the business of ACE Engineering has contributed to the increase in turnover of the Group, competition in the building contract works market remains fierce. In view of the projects of ACE Engineering on hand, the management of the Group expects that it has no immediate funding need to utilise the Unutilised ACEE SM Placing Proceeds.

In light of the above and taking into account of the growth of the money lending industry in Hong Kong, the Board has resolved to allocate, out of the Unutilised ACEE SM Placing Proceeds, approximately HK$41.0 million for expansion of the Group’s money lending business and/or potential acquisitions of equity interests in companies that are principally engaged in money lending business as and when opportunity arises and approximately HK$27.0 million for general working capital of the Group. In the event that any of such acquisition materialises, the Company will make further announcement(s) in compliance with the Listing Rules.

The Board considers that the change in the use of the Unutilised ACEE SM Placing Proceeds is in the best interests of the Company and its shareholders as a whole.

On behalf of the Board AMCO United Holding Limited YIP Wai Lun, Alvin Chairman and Managing Director

Hong Kong, 12 July 2016

As at the date of this announcement, Mr. Yip Wai Lun, Alvin, Mr. Cheng Kin Chor and Mr. Leung Kelvin Ming Yuen are the Executive Directors; and Mr. Wong Siu Ki, Mr. Chan Ngai Sang Kenny and Mr. Li Kwok Fat are the Independent Non-executive Directors.

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