In response to media enquiries, Hong Kong Exchanges and Clearing Limited (HKEx) has issued the following statement.

THE STOCK EXCHANGE OF HONG KONG LIMITED
(A wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited)

The Stock Exchange of Hong Kong Limited (the Stock Exchange) is seeking clarification from Lai Sun Development Company Limited ("Lai Sun") in relation to its obligations under the Listing Rules to release price sensitive information concerning the proposed disposal of its share holding in ATV to tom.com.

Listed issuers are required under the Listing Rules to make timely and fair disclosure of its price sensitive information. When a listed issuer becomes aware that price sensitive information has inadvertently been disclosed, it should immediately issue an announcement disclosing the relevant information. In most cases, pending a formal announcement, it will be necessary for the listed issuer to request a suspension in the trading of its securities. This is to allow the listed issuer sufficient time to organise and release an announcement on the price sensitive information, to protect the interests of investors and to maintain orderly trading in the market.

Based on the consideration as reported in the Apple Daily yesterday, the proposed transaction concerning the disposal by Lai Sun of its share holding in ATV to tom.com would be a Discloseable Transaction for Lai Sun under the Listing Rules and Lai Sun is required to announce it, in any case, as soon as it has been agreed. However, given that the proposed transaction has already been reported in the media, then Lai Sun should make a proper announcement of the proposed transaction as soon as possible in accordance with its general disclosure obligation under the Listing Rules. Also, Lai Sun should have considered requesting the Stock Exchange to suspend the trading of its securities on the Stock Exchange to avoid speculative price movements pending the formal announcement.