18 Mar 2015 09:41
RNS Reach
18 March 2015
VinaLand Limited
Divestment of stake in Sai Gon Quy Nhon Hotel
Ho Chi Minh City - VinaLand Limited ("the Company" or "VNL"), the AIM-quoted investment vehicle established to target strategic segments within Vietnam's emerging real estate market, announces that it has divested its stake in Sai Gon Quy Nhon Tourism Joint Stock Company which owns the SGT Quy Nhon Hotel located in the Binh Dinh Province in Central Vietnam.
The hotel is a Vietnamese accredited 4-star 148-key hotel that was acquired by VNL in 2008. The divestment of this asset is consistent with the Company's strategy to divest assets by the end of the current term. As a result of the transaction, VNL has disposed of its entire 15.0% stake in the project, at a valuation 27.3% above the unaudited 31 December 2014 net asset value of the investment and 24.5% above the net asset value at the time of VNL's extraordinary meeting (EGM) in November 2012. This transaction has resulted in net proceeds of USD630,000 for the Company. At the time of this announcement 100% of the proceeds have been collected.
Speaking on the transaction, Managing Director, David Blackhall stated, "The finalization of this transaction is consistent with the Company's strategy agreed at the EGM in November 2012 where shareholders supported a new three-year term which included a revised strategy focused on the realization of assets. This transaction is the ninth full exit since VNL's EGM on 21 November 2012. The proceeds will be deployed to cover capital commitments and operating costs of the Company and any remaining funds will be deployed towards the share buyback programme."
Enquiries:
David DropseyVinaCapital Investment Management LimitedInvestor Relations/Communications+84 8 3821 9930david.dropsey@vinacapital.com
Philip Secrett
Grant Thornton UK LLP, Nominated Adviser
+44 (0)20 7583 5100
philip.j.secrett@uk.gt.com
Hiroshi Funaki / Andrew DaviesEdmond de Rothschild Securities, Broker+44 20 7845 5960funds@lcfr.co.uk
David Benda / Hugh JonathanNumis Securities Limited, Broker
+44 (0)20 7260 1000
funds@numis.com
Andrew WaltonFTI Consulting, Public Relations (London)+44 (0)20 7269 7204andrew.walton@fticonsulting.com