Quarterly Investor Update

RNS Number : 3751B

Aseana Properties Limited

17 February 2011

 



17 February 2011

Aseana Properties Limited

("Aseana" or "the Company")

Quarterly Investor Update

Aseana Properties Limited (LSE: ASPL), a property developer in Malaysia and Vietnam, reports it has today issued its Quarterly Investor Update for the period to 31 December 2010. The full update can be obtained on Aseana's website at:

http://www.aseanaproperties.com/quarterly.htm

Highlights:

·      9 December 2010: Signed Hospital Management Agreement with Parkway Holdings to be 
the operator of City International Hospital, a private general hospital in International Hi-Tech Healthcare Park, Ho Chi Minh City, Vietnam.

·      30 December 2010: Completed the sale of office tower and retail mall of 1 Mont' Kiara 
mixed used development project in Kuala Lumpur, Malaysia.

·      12 January 2011: Withdrawal from acquisition of development land in Mont' Kiara, Kuala 
Lumpur, Malaysia.

Property Portfolio Update:

Sales Update January 2011 Projects	% Sales
Tiffani by i-ZEN	96%
Sandakan Harbour Square
- Phase 1 (61 retail lots)	100%
- Phase 2 (68 retail lots)	93%
SENI Mont' Kiara	69%
KL Sentral Office Towers & Hotel
- Office Tower 1	100%
- Office Tower 2	100%
- Hotel	100%

During the past three months, the sale of the Sandakan Harbour Square Phase 2 retail lots has advanced to 93%, compared to 85% in the last quarter. To date, sales take-up of Tiffani by i-ZEN is at 96%, compared to 95% in the last quarter.

On 9 December 2010, Aseana Properties Limited signed a Hospital Management Agreement with Gleneagles Management Services Pte Ltd, a wholly-owned subsidiary of Parkway Holdings Limited to be the operator of City International Hospital, a private general hospital currently under construction at the International Hi-Tech Healthcare Park, Ho Chi Minh City, Vietnam. Parkway Holdings is a leading healthcare group based in Singapore and Asia's largest healthcare service provider, managing hospitals in Singapore, Malaysia, India and the Middle East.

In July 2010, Aseana announced the conditional sale of the office tower and retail mall of 1 Mont' Kiara mixed use development project in Kuala Lumpur for approximately US$104 million. The sale was completed on 30 December 2010, upon the development project receiving the Certificate of Fitness from the authorities.

On 12 January 2011, Aseana announced its withdrawal from the acquisition of a plot of development land in Mont' Kiara known as TM Mont Kiara Commercial Development, due to uncertainty in timing of completion. The acquisition was conditional on receipt of the necessary approvals from the relevant authorities including a development order from the City Hall of Kuala Lumpur, which to date has not been obtained. Aseana has decided to re-allocate its funds set aside for this project to its existing projects.

On 11 February 2011, the State Bank of Vietnam devalued the Vietnamese Dong against the US Dollar by 9.3%, its third devaluation within the last 13 months. The reference rate is adjusted from 18,932 Vietnamese Dong per US Dollar to 20,693 Vietnamese Dong per US Dollar. The State Bank of Vietnam also narrowed the trading band for the Vietnamese Dong from +/-3% to +/-1%.  

The final results are targeted to be released on 20 April 2011.

For further information:

Aseana Properties Limited	Tel: [phone]
Tan May Lee	Email: [e-mail]
Panmure Gordon (UK) Limited	Tel: [phone]
Richard Gray / Andrew Potts / Tom Nicholson	Email: [e-mail]
Tavistock Communications	Tel: [phone]
Jeremy Carey / James Verstringhe	Email: [e-mail]

Notes to Editors:

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

Aseana typically invests in development projects at pre-construction stage.  Investment is made in projects where it is believed there will be a minimum 30% annualised return on equity ("ROE") on investments in Vietnam and a minimum 20% ROE on investments in Malaysia.

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 40 years 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.

Fundamentals of Malaysia and Vietnam remain strong for future growth, especially with indications pointing to strong growth in emerging markets this year. In particular, the real estate sectors are likely to flourish due to:

•	An increasing standard of living and urbanisation driven by a burgeoning young and middle-class population
•	Clear government role in encouraging participation of private sectors in real estate development, as well as encouraging and promoting land and property ownership
•	Improving availability or mortgages to encourage property ownership
•	Favoured foreign direct investment destinations driving demand for commercial and industrial properties

 

END

 

 

MSCTFMRTMBABBIB