KWONG HING INTL<1131>-Announcement & Resumption of Trading

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.

Kwong Hing International Holdings (Bermuda) Limited
(the "Company")
(Incorporated in Bermuda with limited liability)

Announcement

The Company wishes to advise that:

1.      the Subscription Agreement it signed with SDL is a legally binding 
agreement and not a letter of intent;

2.      the Shares are newly allotted shares and not subject to any third 
party's right of purchase;

3.      whether SDL owns the Great Wall Networks is not a concern to the 
Company;

4.      as a passive investor, the Company has no right to appoint any 
director of SDL;

5.      it is a condition-precedent that SDL has to cause the liquidation 
application against it be withdrawn before the Company subscribes the 
Shares;

6.      trading of the Company's shares remained suspended today and 
application has been made to the Stock Exchange for the resumption of 
trading with effect from 10:00 a.m. of 22nd December, 1999.

The Company refers to its announcement dated 20th December, 1999 and the 
reports today on Hong Kong Economic Journal and Oriental Daily.

The Company wishes to further advise as follows:

1.      Nature of the Subscription Agreement

The Company signed the agreement (the "Subscription Agreement") to 
subscribe for 30,000,000 shares (the "Shares") in Star Digitel Limited 
("SDL") on 18th December, 1999 as a legally binding agreement and not as a 
letter of intent.

2.      SDL's Right to Allot the Shares

SDL has warranted to the Company that it can allot the Shares to the 
Company. As newly allotted shares, the Shares shall not be the subject of 
any third party's right of purchase.

3.      SDL's Ownership of the Great Wall Networks

The Company intends to invest in SDL for its equipment leasing and 
consultancy business. Whether SDL owns the Great Wall Networks is not a 
concern to the Company.

4.      The Company's Role in SDL

As advised in the last announcement, the Company intends to hold the 
Shares as an investment. As a minority shareholder holding about 4.3% of 
SDL's enlarged share capital, the Company will not have the right to 
nominate any director of SDL.

5.      Liquidation Application against SDL

Before signing of the Subscription Agreement, SDL informed the Company 
about its dispute with the relevant creditor and the liquidation 
application against SDL. The Company makes it a condition precedent that 
SDL has to settle with the relevant creditor before the Company's 
subscription of the Shares and the liquidation application has to be 
withdrawn.

6.      Major Terms of the Subscription Agreement

Subject :       The Company will subscribe the Shares at the total price 
of HK$30,000,000.

Completion      :       The subscription of the Shares shall take place 
within 10 business days after satisfaction of conditions precedent which 
shall be fulfilled on or before 17th February, 2000.

Major Conditions Precedent      :       (a) The Company is satisfied with 
the results of the financial and legal due diligence; (b) all the legal 
proceedings against SDL (including the liquidation application mentioned 
above) have been fully and finally settled.

There is no other condition precedent not disclosed in this announcement 
which is of price sensitive nature.

7.      Suspension and Resumption of Trading of Shares

Trading in the Company's shares remained suspended on 21st December, 1999 
pending this announcement. Application has been made to the Stock Exchange 
for the resumption of trading in the Company's shares with effect from 
10:00 a.m. of 22nd December, 1999.

8.      Others 

Save as disclosed immediately above, the Company confirms that there are 
no negotiations or agreements relating to any intended acquisitions or 
realisations which are discloseable under paragraph 3 of the Listing 
Agreement, neither is the Board of the Company 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.

As there are conditions precedent to be fulfilled, the transaction may or 
may not materialize. Persons dealing in shares of the Company are reminded 
to exercise due caution.

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

By order of the Board 
Kwong Hing International Holdings (Bermuda) Limited
Li Mei Lin
Deputy Chairman

Hong Kong: 21st December, 1999