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We refer to your letter dated 2 October 2000 on the above and are pleased to enclose the following additional information, as requested:-

(i) The Proposed Acquisition is not subject to the approval of shareholders of EGB or any relevant governmental authority.

(ii) Save as disclosed below, the salient features of the Sale and Purchase Agreement have already been mentioned in our earlier announcement dated 28 September 2000:-

(a) The existing Sub-Lease Agreement in respect of the Said Land dated 1 January 1994 shall be deemed terminated upon full payment of the purchase consideration and the successful transfer of the Said Land to EGB; and

(b) EGB shall continue to pay rental for the sub-lease of the Said Land under the abovementioned Sub-Lease Agreement until full settlement of the purchase consideration.

(iii) There is no liability to be assumed by EGB pursuant to the Proposed Acquisition as the Said Land is to be acquired free from any encumbrance.

(iv) The cost of investment of the Said Land is RM305,700 whilst the dates of investment range from 24 September 1988 to 21 October 1989.

(v) The Board of Directors of the Company is of the opinion that the Proposed Acquisition is in the best interest of the Company.

Dear Sirs

EVERMASTER GROUP BERHAD ("Evermas")
PROPOSED ACQUISITION OF A PARCEL OF LAND


We refer to Evermas' announcement dated 28 September 2000, in respect of the aforesaid matter.

In this connection, kindly furnish the Exchange with the following additional information for public release:-

1. Whether the Acquisition is subject to the approval of shareholders and the relevant government authorities;
2. Salient features of the Sale and Purchase Agreement;
3. Particulars of all liabilities to be assumed by Evermas, arising from the Acquisition;
4. The original cost of investemnt of Lim Piak How @ Lim Piak Ho in the Said Land and the date of such investment; and
5. A statement by the Board of Directors stating whether or not the Acquisition is in the best interests of the company and where a director disagrees with such statement, a statement by the director setting out the reasons and the factors taken into consideration in forming that opinion.

Please furnish the Exchange with your reply within two (2) market days from the date hereof.

Yours faithfully


TAN YEW ENG
Senior Manager, Listing Operations
LMN\

copy to:- Securities Commission (via fax)

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