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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
ARTS OPTICAL INTERNATIONAL HOLDINGS LIMITED
(incorporated in Bermuda with limited liability)
Sin Dak, a wholly-owned subsidiary of the Company, entered into the Agreement with Mr. Ng on
29th January, 2004 in relation to the sale of the Property by Sin Dak to Mr. Ng at a consideration of
HK$2,500,000. The Property is currently occupied by Mr. Ng and his family, free of rent, as a
director’s quarters. The Group intends to use the net proceeds as general working capital.
The Property has a net book value in the Group’s accounts of approximately HK$1.28 million. After
deducting the net book value of the Property and the transaction costs incurred, the Group realised a
net book profit of approximately HK$1.21 million under this transaction. Vigers Appraisal & Consulting
Limited, an independent property valuer, has carried out a valuation on the open market value of the
Property and confirmed that the value of the Property as at 26th January, 2004 was HK$2,400,000.
The consideration for the sale and purchase of the Property of HK$2,500,000 represents a premium of
approximately 4% and 95% to the open market value and the net book value of the Property respectively.
The directors, including the independent non-executive directors of the Company, are of the opinion
that the transaction is conducted on normal commercial terms, which are arrived at after arm’s length
negotiations between the parties and are fair and reasonable insofar as the shareholders of the Company
As Mr. Ng is an executive director of the Company, the entering into of the Agreement constitutes a
connected transaction for the Company under the Listing Rules. The consideration to