UDL HOLDINGS<0620> - Announcement

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.

UDL Holdings Limited
(Incorporated in Bermuda with limited liability)

Announcement

SUMMARY

The board of directors (the "Board") of UDL Holdings Limited (the 
"Company") would like to update the shareholders and the public on 
the results of the court hearing held on 28 April, 1999 in respect 
of the following winding-up petitions.

The Board refers to various previous announcements regarding the 
under-mentioned winding-up petitions. At the hearing on 28 April, 
1999, the results are as follows:

1.  A winding-up petition presented by The Hongkong & Shanghai 
Banking Corporation Limited against the Company. The Honourable 
Madam Justice Le Pichon did not make a winding up order in respect 
of the Company at the hearing today but gave directions to the 
effect that the petition be adjourned pending the outcome of the 
proceedings in relation to the Company's application for the 
implementation of a scheme of arrangement under section 166 of the 
Companies Ordinance (Cap. 32).

2.  A winding-up petition presented by K.Y.H. Steel Co., Limited 
against UDL Argos Engineering & Heavy Industries Company Limited, 
a wholly-owned subsidiary of the Company. The Honourable Madam 
Justice Le Pichon at the hearing has ordered that the petition be 
adjourned today with a date to be fixed.

3.  A winding-up petition presented by Mr. So Kam Ming together 
with 3 other claimants against UDL Ship Management Limited, a 
wholly-owned subsidiary of the Company, in relation to an 
outstanding severance payment totalling HK$129,005.70 together 
with interest thereon. The Master has ordered that the hearing of 
the petition be adjourned to 3 May, 1999.

The Company is now undertaking a scheme of arrangement with 
creditors, therefore, the Board is of the view that the aforesaid 
winding-up petitions have no significant impact on the Company.

Save as disclosed herein, the Board of the Company is not aware of 
any other matter discloseable under the general obligation imposed 
by paragraph 2 of the Listing Agreement, which is or may be of a 
price sensitive nature.

Meanwhile shareholders of the Company should exercise extreme 
caution when dealing in the shares of the Company. Further 
announcement will be made when there are any material development 
regarding the above mentioned matters.

By Order of the Board
UDL Holdings Limited
Leung Yat Tung
Chairman

Hong Kong, 28 April, 1999