Aseana Prop. Regulatory News (ASPL)

14 February 2014

Aseana Properties Limited

("Aseana")

Aseana investee Company completes US$21.8 million placement

Aseana Properties Limited (LSE: ASPL), a property developer in Malaysia and Vietnam, listed on the Main Market of the London Stock Exchange, announces that Nam Long Investment Corporation ("Nam Long"), a real estate developer in Vietnam, in which Aseana holds a minority stake, has successfully completed a placing of 25,500,000 new shares at VND 18,000 (approx. US$0.855) per share to a list of prominent institutional investors, to raise VND 459 billion (approx. US$21.8 million). The proceeds will be used as working capital for Nam Long's development pipeline.

The placing, which enlarges Nam Long's outstanding share capital to 121,013,523 shares, saw International Finance Corporation (a member of World Bank Group), Bridger Capital, Probus Asia among other investors join the existing institutional investors in Nam Long such as Nam Viet Ltd (Goldman Sachs Group) and Vietnam Azalea Fund (Mekong Capital). Nam Long's shares were listed on the Ho Chi Minh Stock Exchange ("HOSE") on 8 April 2013. At the time of listing, no new shares were issued. Nam Long's shares (HOSE: NLG) closed at VND19,600 on 13 February 2014.

On completion of the placing, Aseana's effective stake in Nam Long has reduced from 16.32% to 12.88%. The placing price represents a 7.1% premium above the value Aseana attributed to its holdings as at 30 September 2013. In line with International Financial Reporting Standards, the value of Aseana's holdings will be 'marked-to-market' against Nam Long's share price as quoted on the Ho Chi Minh City Stock Exchange at the close of each reporting period.

Nam Long is an established property development company with a track record of over 20 years and is a leading player in the real estate market in Ho Chi Minh City, Vietnam. It currently has a land bank of over 560 hectares mainly in Ho Chi Minh City and neighbouring provinces. Through its partnership with Nam Long, Aseana is co-developing the Waterside Estates in District 9 of Ho Chi Minh City. 

During 2013, Nam Long has successfully launched three affordable homes projects. The homes are branded as "Nam Long EHomes" and are priced in the region of US$25,000 to US$60,000 per unit. All phases have achieved good sales rates, representing total sales of over 1,000 apartments and townhouses in 2013 alone. Nam Long plans to consolidate further its market leading position in the affordable homes sector by launching five other Ehome projects over the next five years. With a sizeable land bank that is ready for development, Nam Long is well positioned to benefit from the expected recovery in the Vietnamese property market.

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Notes to Editors:

London-listed Aseana Properties Limited (LSE: ASPL) is a property developer investing in Malaysia and Vietnam.

Ireka Development Management Sdn Bhd ("IDM") is the exclusive Development Manager for Aseana. It is a wholly-owned subsidiary of Ireka Corporation Berhad, a company listed on the Bursa Malaysia since 1993, which has over 45 years of experience in construction and property development. IDM is responsible for the day-to-day management of Aseana's property portfolio and the introduction and facilitation of new investment opportunities.