Macau E&M Holding Limited — M&A Activity 2006

Dec 8, 2006

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.

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(Incorporated in Hong Kong with limited liability)

(Stock Code: 604)

FURTHER INFORMATION IN RESPECT OF MAWAN MERGER

On 6 December 2006, Shenzhen Mawan, a company in which the Company is indirectly interested in 34% of the issued share capital through Newton, entered into a merger agreement with Shenzhen Western.

Reference is made to the Company’s announcement dated 28 August 2006 (the “ Announcement ”). Unless otherwise specified, terms used in this announcement shall have the same meanings as those used in the Announcement.

As disclosed in the Announcement, the Company conditionally agreed to sell its entire interest in Newton to Shenzhen Energy HK. The Conditions under the Agreement have been fulfilled as at the date of this announcement and completion of the Disposal is scheduled to take place on 15 December 2006, upon which the Company will cease to have interest in Newton and indirectly in Shenzhen Mawan Power Co., Ltd. (“ Shenzhen Mawan ”), a company in which the Company is indirectly interested in 34% of the issued share capital through Newton.

On 6 December 2006, Shenzhen Mawan entered into a merger agreement (the “ Merger Agreement ”) with Shenzhen Western Power Co., Ltd. (“ Shenzhen Western ”). Pursuant to the Merger Agreement, Shenzhen Mawan will take over all the assets and liabilities of Shenzhen Western (the “ Merger ”). The aggregate percentage equity interest indirectly held by the Group in Shenzhen Mawan will be reduced from 34% to 12.17% upon completion of the Merger.

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The Company will make further announcement in relation to the Merger in the event that completion of the Disposal will not take place on 15 December 2006 or such other date as agreed by the parties to the Agreement.

By Order of the Board Shenzhen Investment Limited Zhang Yijun Director

Hong Kong, 7 December, 2006

As at the date of this announcement, the board of directors of the Company comprises eight executive Directors, namely, Mr. Hu Aimin, Mr. Zhang Yijun, Mr. Zhao Gesheng, Mr. Xiao Rihai, Mr. Liang Kaiping, Mr. Liu Weijin, Mr. Zhang Huaqiao and Mr. Tam Ping Lung and three non-executive Directors namely Mr. Lee Yip Wah, Peter, Mr. Hu Zuoyuan and Dr. Wu Jiesi and three independent non-executive Directors namely Mr. Wong Po Yan, Mr. Wu Wai Chung, Michael and Mr. Li Wai Keung.

Please also refer to the published version of this announcement in The Standard.

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