Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.
This announcement appears for information purposes only and does not constitute an invitation or offer to acquire, purchase, or subscribe for the securities.

(Incorporated in Bermuda with limited liability)

(Stock Code: 00711) MONTHLY PROGRESS UPDATE ON THE POSSIBLE TRANSACTION PURSUANT TO RULE 3.7 OF THE TAKEOVERS CODE

This announcement is made by Chun Wo Development Holdings Limited (the "Company") pursuant to Rule 3.7 of The Hong Kong Code on Takeovers and Mergers (the "Takeovers Code").

Reference is made to the announcements of the Company dated 7 July 2014 and 6 August

2014 (the "Announcements") in relation to the Possible Transaction. Unless otherwise specified, capitalized terms used herein shall have the same meanings as those defined in the Announcements.

The Company wishes to update its shareholders and potential investors that as at the date of this announcement, (i) the Possible Purchaser is in the process of negotiating the terms and conditions in respect of the Possible Transaction with GT Winners; and (ii) other than the MOU, no formal or legally binding agreement has been entered into between GT Winners and the Possible Purchaser in respect of the Possible Transaction.

Further announcement(s) setting out the progress of the Possible Transaction will be made as and when necessary in accordance with the Listing Rules and the Takeovers Code and on a monthly basis until an announcement of a firm intention to make an offer under Rule 3.5 of the Takeovers Code or of a decision not to proceed with the Possible Transaction is made.

Shareholders and potential investors of the Company shall be aware that the MOU is non-legally binding in respect of the terms and conditions of the Possible Transaction. There is no assurance that any transaction mentioned in this announcement will materialize or eventually be consummated and the discussions may or may not lead to a

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general offer. Shareholders and potential investors of the Company are urged to exercise extreme caution when dealing in the Shares and/or other securities of the Company and if in any doubt as to any aspect of this announcement or as to the action to be taken, they should consult their professional adviser(s).

By Order of the Board

Pang Yat Ting, Dominic

Chairman

Hong Kong, 4 September 2014

As at the date of this announcement, the executive directors of the Company are Mr. Pang Yat Ting, Dominic, Mr. Pang Yat Bond, Derrick, Mr. Kwok Yuk Chiu, Clement and Madam Li Wai Hang, Christina and the independent non-executive directors of the Company are Mr. Au Son Yiu, Mr. Chan Chiu Ying, Alec, Mr. Hui Chiu Chung, Stephen JP and Mr. Lee Shing See GBS, OBE, JP.
The directors of the Company jointly and severally accept full responsibility for accuracy of the information contained in this announcement and confirm, having made all reasonable enquiries, that to the best of their knowledge, opinions expressed in this announcement have been arrived at after due and careful consideration and there are no other facts not contained in this announcement, the omission of which would make any statement in this announcement misleading.
In the event of inconsistency, the English text of this announcement shall prevail over the
Chinese text thereof.

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