SOUTH CHINA H<00265> - Exceptional Price Movement

The Stock Exchange has received a message from South China Holdings 
Limited which is reproduced as follows:-

"This statement is made at the request of The Stock Exchange of Hong Kong 
Limited.

We have noted the recent increase in the price of the shares of the 
Company and wish to state that we are not aware of any reasons for such 
increase.

We also confirm that apart from the proposed board meeting to be held on 
21 January 2002 to consider, if appropriate, the declaration of a special 
dividend, details of which have been announced on 9 January 2002, there 
are no negotiations or agreements relating to intended acquisitions or 
realisations which are discloseable under paragraph 3 of the Listing 
Agreement, neither is the Board aware of any matter discloseable under the 
general obligation imposed by paragraph 2 of the Listing Agreement, which 
is or may be of a price-sensitive nature.

Made by the order of the Board of South China Holdings Limited, the 
directors of which individually and jointly accept responsibility for the 
accuracy of this statement.

For and on behalf of
South China Holdings Limited 

Cheung Choi Ngor, Christina
Director

10 January, 2002"