GuocoLand Limited (“GLL”) wishes to announce that its wholly-owned subsidiary, GuocoLand (China) Limited (“GLC”) has today signed a conditional agreement (“Share Acquisition Agreement”) to acquire a 100% stake in Tianjin Zhong Xin Ming Shi Real Estate Development Co., Ltd (“Tianjin Zhong Xin Project Co”) from Lead Mix Limited and Reliapoint Limited who are the existing shareholders (the “Acquisition”).

Tianjin Zhong Xin Project Co holds the land use and development rights to a land parcel known as Plot 12 located in the Laochengxiang area in the Nankai District of Tianjin City (the “Site”). The Laochengxiang area, being the oldest residential district in Tianjin with a development history of 600 years, is a cultural, commercial and historic hub. The Site, which has a land area of approximately 26,000 square metres and saleable area of about 153,000 square metres, is designated for residential and office development. The tenure of the land use rights is 50 years. GLC’s proposed development on the Site will form part of the overall redevelopment of the Laochengxiang area which is being undertaken by Neo-China Group (Holdings) Limited, a company listed on The Stock Exchange of Hong Kong Limited.

The Acquisition is subject to, inter alia, the requisite approval from the Tianjin Commercial Bureau for the transfer of the 100% stake in Tianjin Zhong Xin Project Co to GLC, the issuance of a new business licence by the Tianjin Administration for Industry and Commerce and other approvals from relevant governmental and regulatory authorities. Upon completion of the Acquisition, Tianjin Zhong Xin Project Co will become a downstream subsidiary of GLL.

The purchase consideration for the Acquisition is approximately Rmb406.0 million (US$52.5 million) payable in tranches to the vendors. The Acquisition will be funded from GLL’s internal resources and borrowings.

The Acquisition marks GLC’s entry into Tianjin, a major city with a flourishing economy in northern China, being situated in the municipality closest to Beijing. Tianjin is the economic centre of the Bohai Sea Rim Area and a major open seaport in northern China. It is being developed into a major commercial, industrial and financial centre in northern China. Following this Acquisition, GLC would have established property operations in the major cities of Beijing, Shanghai, Nanjing and Tianjin.

The Acquisition is not expected to have any material effect on the earnings per share or net tangible assets per share of the GLL Group for the current financial year ending 30 June 2007.

None of the Directors or substantial shareholders of GLL has any interest, direct or indirect, in the Acquisition.