WAH YIK HOLD<0862> - Announcement

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.

WAH YIK HOLDINGS COMPANY LIMITED
(Incorporated in the Cayman Islands with limited liability)

Recent Price Movement/Proposed investment in joint venture

Wah Yik Holdings Company Limited (the "Company" which 
together with its subsidiaries the Group") has commenced 
preliminary negotiations with a multinational company (the 
"Multinational Company") with division companies engaging in 
business covering electronics, advanced information 
technology, plant and industrial machinery, aerospace and 
multimedia for the proposed establishment of a joint venture 
(the "Proposed Joint Venture") in Hong Kong or the People's 
Republic of China. The purpose of setting up the Proposed 
Joint Venture is to extend the existing business of the Group.

The Multinational Company is an independent third party not 
connected with the directors, chief executive, substantial 
shareholder of the Company or any of its subsidiaries or any 
of their respective associates.

The board of directors (the "Directors") of the Company wish 
to state that the Proposed Joint Venture may or may not proceed.

The Directors are not aware of any reason for the recent 
increase in the price and trading volume of the shares of the 
Company and wish to state that they are not aware of any 
reasons for such increase apart from the Proposed Joint 
Venture forming the subject matter of this announcement.

In the meantime, public investors are urged to exercise 
extreme caution in dealing in the shares of the Company.

This announcement is made at the request of The Stock Exchange 
of Hong Kong Limited (the "Stock Exchange").

The Directors noted that the recent increase in the price and 
trading volume of the shares of the Company and wish to state 
that they are not aware of any reasons for such increases 
apart from the Proposed Joint Venture forming the subject 
matter of this announcement.

The Directors announced that the Company had commenced 
preliminary negotiation since the beginning of October 1999 
with the Multinational Company with division companies 
engaging in business covering electronics, advanced 
information technology, plant and industrial machinery, 
aerospace and multimedia. The purpose of setting up the 
Proposed Joint Venture is to extend the existing business of 
the Group.

The Multinational Company is an independent third party not 
connected with the directors, chief executive, substantial 
shareholder of the Company or any of its subsidiaries or any 
of their respective associates for the Proposed Joint Venture.

The Directors wish to state that the Proposed Joint Venture may or may not 
proceed and, in particular, negotiations for the Proposed Joint Venture 
are only at a preliminary stage. The Directors confirm that the 
shareholding distribution, object and business of the joint venture, form 
of financing, the timing and other details of the Proposed Joint Venture 
have not been finalised. No binding agreement has been entered into by the 
Company and the relevant parties. The Proposed Joint Venture may or may 
not constitute a transaction notifiable under Chapter 14 of the Rules 
Governing the Listing of Securities on the Stock Exchange. The Company 
will keep the public informed by making further announcements on the 
results of the negotiations of the Proposed Joint Venture.

The Directors also confirm that there are no negotiations or agreements 
relating to intended acquisitions or realisations which are 
discloseable under paragraph 3 of the Listing Agreement made between the 
Company and the Stock Exchange and apart from the Proposed Joint 
Venture, the Directors are not aware of any matter which is discloseable 
under paragraph 2 of the Listing Agreement.

In the meantime, public investors are urged to exercise extreme caution in 
dealing in the shares of the Company.

Made by order of the Board of the Company, the directors of the which 
individually and jointly accept responsibility for the accuracy of this 
statement.

By Order of the Board
Hui Mang Mang
Chairman

Hong Kong, 28th October, 1999