Net proceeds from Wafer Systems' Placing will increase from approximately HK$19 million to approximately HK$21 million as a result of the exercise of the over-allotment option at a price of HK$0.55 per share.

Mr. Ringo Chan, Chief Executive Officer of Wafer Systems said, "We are delighted to achieve these satisfactory results. The excellent response to the Group's share issue fully demonstrates the attraction and success of our business strategies. With the funds raised from the placing, we will strengthen our overall research and development capabilities and the development of our proprietary network software and complementary products. Additionally, we will further consolidate our leading position in providing networking infrastructure solutions and services to multinational corporations ("MNCs") in the PRC. "

Trading of shares on the GEM Board of The Stock Exchange of Hong Kong Limited will commence on May 17, 2002 (Friday). The stock code is 8198. CSC Asia Limited and CSC Securities (HK) Limited are the Sponsor and Lead Manager respectively and JS Cresvale International Limited is the Co-sponsor of this share offer. Watterson Asia Limited is the Financial Advisor and Bookrunning Lead Manager.

Mr. Chan concluded, "Given our well-defined business approach and our strategic expansion plans, the Group is poised to deliver sustainable growth in the years to come. The management is fully committed to fulfilling the corporate vision and I look forward to witnessing more highlights for the Group."