25 Jul 2006 14:00
VinaLand Limited25 July 2006 VinaLand Limited Announces Significant Real Estate Investment in Hanoi Hospitality Market Ho Chi Minh City, Vietnam, 25 July, 2006 - VinaLand Limited ("VinaLand" or, the"Company") (AIM: VNL) is pleased to announce the successful purchase of a 52.5%interest in the Hilton Hanoi Opera Hotel for US$32.16 million which will besatisfied in cash. The Hilton Hanoi Opera Hotel has been in operation since 1999 and enjoys a primelocation at the heart of Vietnam's capital, adjacent to the Hanoi Opera House.Grade A office buildings, government ministry offices, shopping areas, and artgalleries are conveniently located within walking distance of the 269-room,French Colonial-style property which represents 11% of Hanoi's five-star hotelrooms and boasts occupancy rates of more than 80%. The Hilton Hanoi Opera Hotel is the second most successful hotel in Hanoi, afterthe Sofitel Metropole Hotel, with a gross operating profit of US$4.28 million in2005. The Company has valued its investment at US$32.16 million. In keeping with the Company's investment strategy - to provide shareholders withan attractive level of income, together with the potential for capital growth -the Company's investment manager, VinaCapital Investment Management Ltd("VinaCapital"), has devoted considerable effort to identify the most profitableinvestment projects in Vietnam. VinaCapital believes Vietnam's travel andleisure market is an attractive investment and expects the hotel segment,especially in Hanoi, to be a strong performer due to rising demand from touristsand business travelers and an extremely limited supply of rooms. VinaLand's investment comes at the conclusion of successful negotiations withthe hotel's consortium of shareholders - including the Hilton Group and VivendiUniversal. Vietnam Opportunity Fund Limited (AIM: VOF), another closed-endinvestment company listed on AIM and managed by VinaCapital, will be aco-investor and hold 17.5% in the property. The Company may invite additionalco-investors to participate in this project in the future. About VinaLand Limited VinaLand Limited (AIM: VNL), is a US$204 million closed-end fund listed on theAIM market of the London Stock Exchange. The Company invests in real estateopportunities in Vietnam and intends to invest in five property segments:office, retail, residential, industrial, and leisure, with a primary focus on HoChi Minh City, and a secondary focus on Hanoi and key leisure areas, includingNha Trang, Hoi An, and Danang. For further information, please contact Ms. Chi Nguyen, Investor Relations, atchi.nguyen@vinacapital.com or at (84 8) 821 9930. This information is provided by RNS The company news service from the London Stock Exchange