Medlive Technology Co., Ltd. — Major Shareholding Notification 2002

Apr 19, 2002

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.

GUANGDONG KELON ELECTRICAL HOLDINGS COMPANY LIMITED

(A joint stock limited company incorporated in the People's Republic of China with limited liability)

COMPLETION OF THE TRANSFER OF SHARES BY GKG TO GREENCOOL

AND FURTHER SALE OF SHARES BY GKG

Further to the announcement made by the Company on 17 April 2002, the Board announces that the transfer by GKG to Greencool of 204,775,755 legal person shares of RMB1.00 each in the Company was completed on 18 April 2002.

The Board further announces that it has been informed by GKG that it entered into a sale and purchase agreement with Shunde Economic on 15 April 2002 pursuant to which GKG agreed to sell to Shunde Economic a total of 68,666,667 legal person shares in the Company, representing approximately 6.92% of the existing issued share capital of the Company for a total consideration of RMB 206,000,001.

COMPLETION OF THE GREENCOOL TRANSFER

Reference is made to the announcement dated 17 April 2002. GKG and Greencool entered into a sale and purchase agreement and a supplemental sale and purchase agreement dated 29 October 2001 and 5 March 2002 respectively, under which GKG sold to Greencool 204,775,755 legal person shares of RMB 1.00 each in the Company representing approximately 20.64% of the existing issued share capital of the Company, for an aggregate consideration of RMB348,000,000. The transfer procedures were completed on 18 April 2002 and immediately thereafter Greencool holds 204,775,755 legal person shares representing approximately 20.64% of the existing issued share capital of the Company.

THE SALE AND PURCHASE AGREEMENT BETWEEN GKG AND SHUNDE ECONOMIC

Parties

Vendor: GKG

Purchaser: Shunde Economic

Date

15 April 2002

Sale Shares

68,666,667 legal person shares of RMB 1.00 each in the Company representing approximately 6.92% of the existing issued share capital of the Company which are not subject to any freezing orders.

Consideration

The consideration for each Sale Share is RMB3.00 and the total consideration for the Sale Shares is RMB206,000,001.

Completion

Completion will take place once the parties have completed the relevant share transfer procedures in respect of the Sale Shares. Upon completion, Shunde Economic will pay the total consideration of RMB206,000,001 to GKG.

shareholdings of gkg and shunde economic after completion

Immediately following completion of the above sale and purchase, GKG will hold 64,473,333 legal person shares representing approximately 6.499% of the existing issued share capital of the Company and Shunde Economic will hold 68,666,667 legal person shares representing approximately 6.92% of the existing issued share capital of the Company. The total existing issued share capital of the Company remains unchanged.

Information on Shunde Economic

The Company has received the following information on Shunde Economic:

Shunde Economic was established in 1989 with the approvals of the Foshan Financial Committee (佛山財金委員會) and Shunde People's Government (順德市人民政府). At the time of its establishment, Shunde Economic was named as ICBC Foshan Branch Economic Consultancy Company Shunde Branch (中國工商銀行佛山分行經濟諮詢公司順德分公司) and then its name was changed to Foshan Economic Consultancy Company Shunde Branch (佛山市經濟諮詢公司順德分公司) in 1990. Its name was finally changed to the current name of Shunde Economic in 1992. The company's registered capital is RMB100,000 and the department in actual control of Shunde Economic is ICBC, Shunde Branch. The address of the company is順德市大良區鑒海路2號. Shunde Economic is part of a state-owned enterprise and its principal business is information consultancy work. The legal representative of Shunde Economic is Chong Jian Ping (鍾建平). She was appointed as the legal representative and general manager of Shunde Economic in June 2001. Chong Jian Ping is also an employee of ICBC, Shunde Branch.

GKG is not connected with Shunde Economic.

DEFINITIONS

In this announcement, unless the context requires otherwise, the following terms and expressions shall have the following respective meanings:

"Board" board of directors of the Company;

"Company" Guangdong Kelon Electrical Holdings Company Limited (廣東科龍電器股份有限公司), a company incorporated in the People's Republic of China with limited liability, whose H shares are listed on the Stock Exchange of Hong Kong Limited and whose A shares are listed on the Shenzhen Stock Exchange;

"GKG" Guangdong Kelon (Ronsheng) Group Company Limited (廣東科龍(容聲)集團有限公司);

"Greencool" Greencool Enterprise Development Company Limited (順德市格林柯爾企業發展有限公司) , a limited liability company incorporated in the People's Republic of China;

"RMB" Renminbi, the lawful currency of the People's Republic of China;

"Sale Shares" 68,666,667 legal person shares of RMB 1.00 each in the Company;

"Shunde Economic" Shunde Economic Consultancy Company (順德市經濟諮詢公司); and

"ICBC" The Industrial and Commercial Bank of China (中國工商銀行)

By the order of the Board of

Guangdong Kelon Electrical Holdings Company Limited

Liu Cong Meng

Vice Chairman

Shunde, Guangdong, the PRC, 18 April 2002

"Please also refer to the published version of this announcement in the Hong Kong i-mail"