HMI HOLDINGS LTD

Invitation in respect of 38,000,000 New Shares of $0.05 each comprising:-
(a) 13,300,000 Offer Shares at $0.27 each by way of public offer; and
(b) 24,700,000 Placement Shares by way of placement, comprising:-
   (i) a minimum of 15,200,000 Placement Shares at $0.27 each; and
   (ii) up to 9,500,000 Reserved Shares at $0.27 each,

payable in full on application

The Board of Directors of HMI Holdings Ltd ("HMI" or the "Company") is pleased to announce that at the close of the Application List at 12.00 noon on 13 October 1999, there were 58,400 applications for the 13,300,000 Offer Shares available to the public for subscription. In total, these applicants applied for 848,062,000 Offer Shares, with application moneys received amounting to approximately $229.0 million.

Based on the 13,300,000 Offer Shares available to the public for subscription, the offer to the public is approximately 63.8 times subscribed.

To ensure a reasonable spread of shareholders of the Company, the Board of Directors of the Company has decided on the following basis of allotment:-

The 15,200,000 Placement Shares offered by way of placement were successfully subscribed for. The spread of placees is as follows:-

The 9,500,000 Reserved Shares were also fully taken up by the employees and business associates of the Group. The spread of Reserved Shares applicants is as follows:-

The Shares will commence trading on a "ready" basis on 15 October 1999. There will be NO trading on a "when issued" basis.

The return of unsuccessful applications using printed Application Forms by ordinary post at the risk of the unsuccessful applicants, together with the full amount of the application moneys (without interest or any share of revenue earned or other benefit arising therefrom), will commence today and is expected to be completed by 19 October 1999. For unsuccessful Electronic Applications, it is expected that the full amount of the application moneys (without interest or any share of revenue earned or other benefit arising therefrom) will be credited to the applicants' accounts with their Participating Banks (as defined in the Prospectus dated 5 October 1999) within three market days after the close of the Application List on 13 October 1999.

In respect of partially successful applications, the balance of the application moneys is expected to be refunded (without any interest or any share of revenue earned or other benefit arising therefrom) to the applicants, by ordinary post at their own risk (in the case of applications made using printed Application Forms) or by being automatically credited to the applicants' accounts with their Participating Banks (in the case of Electronic Applications) within 14 days after the close of the Application List on 13 October 1999.

The Board of Directors of HMI is pleased to advise that CPF members may, with effect from the date on which the Company's Shares are traded as indicated above, use their CPF savings (subject to the 20 per cent. sub-limit) to purchase the Company's Shares under and subject to the requirements of the CPF Investment Scheme.

The Company wishes to thank the public who have applied for the Offer Shares and the Placement Shares, the relevant authorities and all who have helped in one way or another in the Company's initial public offering, for their support and assistance.

Issued by
The Development Bank of Singapore Ltd

For and on behalf of
HMI Holdings Ltd