DUPD.L Regulatory News (DUPD)

18 Apr 2008 07:00

Dragon-Ukrainian Prop. & Dev. PLC18 April 2008 Embargo for 7.00am on 18 April 2008 Dragon - Ukrainian Properties & Development Plc (the "Company" or "DUPD") Independent valuation of portfolio properties accomplished Dragon - Ukrainian Properties & Development Plc, one of the largest AIM-listedreal estate investment companies with an exclusive focus on Ukraine, managed byDragon Capital Partners Limited ("DCP"), is delighted to announce the results ofvaluation of three of its investment projects. DUPD has employed Knight Frank, a leading real estate advisory company, as anindependent professional valuer for the valuation of the Company's holdings inthese projects, based on the results of a previously conducted tender. This isthe first independent valuation of the Company's investment portfolio as at 31December 2007, results of which will be reflected in its financial statementsfor 2007. The valuation was produced in accordance with the InternationalValuation Standards 2005 (IVS 2005). The interest of the Company in the three investment projects was valued asdetailed below: 1. 15% shareholding interest in Komarova project, which envisions the construction of a 45,000 sqm shopping centre project in Kyiv. (The stake will increase to 50% + 1 as DUPD completes pre-committed subscriptions during the development period); 2. 75.15% shareholding interest in Obolon project, which envisions the construction of a mixed-use development in Kyiv of approx. 48,000 sqm; and 3. 50.3% shareholding interest in Pine Forest Riverside Estate project, which envisions the construction of an elite cottage community of approximately 65 homes in Kyiv region. According to the valuation results, as of 31 December 2007, the total marketvalue of these properties was US$135 million. DUPD's pro-rata value in theseprojects, based on its shareholding in the respective companies, was $72.6million. The valued properties represent only 16.4% of the Company's total currentcommitments, which as of 31 December 2007 reached US$199.5 million. The totalamount of funds committed by DUPD to acquire and develop these properties was$32.75 million, $21 million of which was disbursed in 2007. The balance of property investments under the Company's portfolio will besubject to valuation at the end of the first half of 2008 according to theCompany valuation policy. Aloysius Van der Heijden, Chairman of DUPD said: "We are very glad to reportsuch a significant upside on three of our investment projects, which is atestimony to the abilities of our management team in sourcing and executinglucrative investment projects for our shareholders. Moreover, we have not seenthe global market turmoil affect Ukrainian real estate market and from ourexperience real estate values in Ukraine continue to be relatively strong". --- ends --- For further information, please contact: Dragon Ukrainian Properties & Development Plcwww.dragon-upd.comTomas Fiala+380 44 490 7120 Zimmerman Adams International Limited - Nominated Advisers and BrokersRay Zimmerman/Jonathan Evans+44 20 7060 1760 Dragon Capital Partners LimitedChris Kamtsios+380 44 490 7120 Notes to Editors About Dragon- Ukrainian Properties & Development Plc DUPD is an Isle of Man incorporated company formed to invest in the developmentof new commercial properties and re-development of existing properties inUkraine which offer the prospect of attractive returns to its shareholders.Having raised US$ 208 million at US$2 per share, DUPD's ordinary shares wereadmitted to trading on the AIM market of the London Stock Exchange on 1 June2007. About Dragon Capital Partners DCP is a subsidiary of Dragon Asset Management, the asset management arm ofDragon Capital. Dragon Capital is a leading Ukrainian financial institutionspecialising in the provision of investment banking, securities trading, assetmanagement and private equity services. Dragon Capital has received the "BestEquities House in Ukraine" award in 2002, 2004, 2005, 2006 and 2007 by "Euromoney", a leading financial journal. DCP professionals combine extensive local knowledge and expertise gained throughsubstantial investment activity in the Ukrainian private equity market accross awide spectrum of industries, including real estate. This information is provided by RNS The company news service from the London Stock Exchange