Kong Shum Union Property Mgmnt Hldgs : BUSINESS UPDATE

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Kong Shum Union Property Management (Holding) Limited

港 深 聯 合物 業管理（ 控股）有 限 公 司

(Incorporated in the Cayman Islands with limited liability)

(Stock Code: 8181)

BUSINESS UPDATE

This is a voluntary announcement made by Kong Shum Union Property Management (Holding) Limited (the''Company'', together with its subsidiaries, the''Group'') to keep the shareholders of the Company (the''Shareholders'') and potential investors informed of the latest business plans and development of the Group.

The board (the''Board'') of directors (the''Directors'') of the Company wishes to announce that a money lenders licence has been granted by the licensing court on 15 June 2017 to a wholly-owned subsidiary of the Company. The Group will commence its money lending business under the Money Lenders Ordinance (Chapter 163 of the laws of Hong Kong) and has decided to include the money lending business as one of its principal business activities from the date of this announcement.

Reference is made to the announcement of the Company dated 20 December 2016. The Company has been exploring suitable opportunities to commence and develop business of provision of financial services in Hong Kong. In view of the current economic and capital markets environment, the Board anticipates that extending its principal business activities into the money lending business will enable the Group to diversify the Group's business scope and broaden the revenue source of the Group with a view to bring more stable return to the Company and increase Shareholders'value. The Board considers the commencement of this new business segment is in the interest of the Company and its shareholders as a whole. The Company will continue to explore further suitable opportunities to enhance the spectrum of its financial services in Hong Kong.

Shareholders and potential investors of the shares of the Company should note that the above mentioned updates contain certain business development, plans and intents which may or may not materialize. Shareholders and potential investors of the shares of the Company should exercise caution when dealing in the shares of the Company.

By order of the Board

Kong Shum Union Property Management (Holding) Limited Eric Todd

Chairman

Hong Kong, 15 June 2017

As at the date of this announcement, the executive Directors are Mr. Eric Todd (Chairman), Mr. Lee Chin Ching, Cyrix and Mr. Ho Ying Choi; and the independent non-executive Directors are Mr. Tso Siu Lun, Alan, Mr. Lam Kai Yeung and Mr. Lo Chi Ho, Richard.

This announcement, for which the Directors collectively and individually accept full responsibility, includes particulars given in compliance with the Rules Governing the Listing of Securities on the Growth Enterprise Market (''GEM'') of The Stock Exchange of Hong Kong Limited for the purpose of giving information with regard to the Company. The Directors, having made all reasonable enquiries, confirm that to the best of their knowledge and belief the information contained in this announcement is accurate and complete in all material respects and not misleading or deceptive, and there are no other matters the omission of which would make any statement herein or this announcement misleading.

This announcement will remain on the GEM website at www.hkgem.com on the ''Latest Company Announcements''page for at least 7 days from the date of its posting and the Company's website at http://www.kongshum.com.hk.