Admission to AIM

Fabian Romania Property Fund Ltd
15 December 2006



Not for release, publication or distribution in, or into, the United States,
              Canada, Australia, the Republic of Ireland or Japan



15 December 2006



                      Fabian Romania Property Fund Limited

           First property fund on AIM to focus exclusively on Romania

       €40 million of new funds (before expenses) raised by Shore Capital



Fabian Romania Property Fund Limited (the 'Fund') is pleased to announce its
admission ('Admission') to the AIM market of the London Stock Exchange (ticker:
FAB) following a successful placing with institutional investors of 29,629,630
ordinary shares at €1.35 per share, raising approximately €40 million before
expenses (the 'Placing'). The market capitalisation at the placing price on
Admission will be €68.6 million. Dealings in the shares are expected to commence
this morning at 8.00am



KEY POINTS:



•            The Directors believe that the Romanian property market offers
significant opportunity, for the following reasons:



-   There is a shortage of Western standard commercial and residential property,
especially in the capital, Bucharest;



- Currently yields on commercial property are typically between 7.5-9.0%,
offering a favourable premium when compared with investment opportunities
elsewhere in Central and Eastern Europe;



-   Romania has enjoyed six successive years of economic growth, attendant
rising levels of household incomes and increasing levels of foreign investment;



-   Romania's imminent entry to the European Union in January 2007 is expected
to provide further impetus to its economy



•            The Fund's investment record thus far has been impressive, with the
portfolio recently valued at approximately €48.0 million (before any associated
debt) as compared with a total of €35.6 million originally invested to purchase
the portfolio less than two years ago.  This gives the Directors grounds for
optimism as to further performance.



•            There is a lengthy pipeline of further good quality investment
opportunities available to the Fund.



Commenting, Mark Holdsworth, Director said:



'The Property market in Romania offers an excellent opportunity for investors
from the UK and mainland Europe. Romania's continued period of strong economic
growth, political stability and impending accession to the EU in 2007 combine to
offer stable and attractive long term conditions for investment. Demand for
Western standard property has appreciated significantly across all sectors and
we believe that the shortfall in supply will offer continued opportunities for
the Fund. The Fund has a strong and proven track record of past investment, with
an appreciation of 44% in 15 months. Since commencing operations in Romania, the
Fund has established a good reputation in the real estate marketplace and an
excellent network of contacts for sourcing a variety of opportunities for future
investment. We hope that these factors will stimulate investor confidence.'





                      Fabian Romania Property Fund Limited



The Fund was established in 2005 as a vehicle to invest in property-related
opportunities in Romania, taking advantage of the country's economic growth and
its impending accession to the European Union in January 2007.



In 2005, the Fund initially raised approximately €21.2 million, more than €17
million of which has been invested in four ventures. Two of these are now
income-producing and the Fund's property portfolio has recently been valued at
approximately €48 million (before any associated debt).



The Fund is now seeking further funding to take advantage of a strong pipeline
of new projects, including Class A offices, logistics and hotel units,
residential and hypermarkets.



The Market Opportunity



The Fund intends to generate attractive total returns through a balanced
portfolio of income producing buildings, co-development projects and land
investments. The Fund will focus on the following areas of the Romanian property
market:



1. Commercial property market



The Fund intends to continue to invest in the office sub-sector of the market
through both the purchase of income producing buildings as well as participation
in co-investment developments. The Directors believe yields on office buildings,
currently at between 7.5-9.0 per cent in Bucharest, are attractive and remain at
a premium to neighbouring Eastern European countries already within the EU. The
Directors believe that this gap will close as Romania enters the EU and as
economic growth continues, thereby offering yield compression and a superior
capital return profile. The Fund will continue to acquire Class A office
buildings but, in order to maximise purchase yields, former communist era office
buildings in need of renovation may also be considered.



The Fund will also look to forward purchase suitable office buildings, thereby
achieving higher acquisition yields. Yields for such buildings are usually at a
substantial discount to ready for sale Class A office buildings and may also
offer opportunities to improve value through active asset management.
Acquisitions of office buildings in the main regional cities will also be
considered if appropriate. The Fund will target buildings with a value of up to
approximately €60 million that have multinational or large Romanian companies as
current tenants.



The Directors also envisage a greater emphasis on co-investment development
projects than in the past, as more projects become available. The Directors
believe such projects can offer enhanced returns through exposure to development
margins, as well as providing the Fund with pre-emption rights over its joint
venture partner's stake, thereby securing further investment opportunities for
the Fund at a lower transaction cost.



2. Retail market



In Bucharest, there are currently only three modern shopping centres to serve a
population of approximately two million inhabitants with increasing disposable
income. Approximately twenty million Romanians live in the rest of the country
where only a further two modern shopping centres and a handful of hypermarkets
are located. Several developers are seeking to break into this market through
schemes to develop hypermarket galleries, shopping centres or retail parks. The
Fund will seek to generate attractive returns by investing in co-investment
opportunities with joint venture partners to develop such schemes and acquiring
fully let retail freeholds made available for sale by developers. The Fund will
focus, in

particular, on shopping centres and hypermarket freeholds, purchasing them
either in advance at a suitable discount to market yields or at practical
completion.



3. Residential market



The Directors believe that there will be significant demand for affordable ''
western-style'' apartments over the next two to four years. It is the Fund's
intention to continue to target this segment with co-investment partners,
investing in development schemes producing smaller apartments of 75-120 sqm
which should be affordable to the emerging middle class.



4. Logistics and hotels markets



The Directors believe the logistics and hotels markets now offer suitable
investment opportunities and portfolio diversification. Income producing
buildings offering yields at a discount to prime office and retail will be
targeted as they are put up for sale by developers. Opportunities to co-invest
with development partners will also be sought in order to enhance risk adjusted
returns.



5. Land bank



The Fund may also invest in selected land plots as these investments can offer
attractive returns and may be used to facilitate co-investment projects. If
suitable opportunities arise, the Investment Manager will put together a
development scheme and invite a co-investment partner to develop the project.
This may enable the Fund to achieve more advantageous joint venture terms with a
partner, and may, if planning consents are achieved prior to the conclusion of a
joint venture agreement, result in an uplift in the value of the land once
planning consent is achieved.



Current portfolio



Fabian Romania Property Fund currently has four investments, all of which are
located in Bucharest:


Property                Fund purchase         Value to Fund implied by DTZ    Unrealised uplift implied by
                        consideration         Echinox's valuation             DTZ Echinox's valuation

                        €000                  €000                           €000

Banu Antonache          12,295                14,100                          1,805
Cascades                12,222                13,200                          978
New Town                5,750                 12,260                          6,510
Lake View               5,300                 8,459                           3,159
                        ___                   ___                             ___
Sub-Total               35,567                48,019                          12,452



Romania



Romania is the largest country in south Eastern Europe and the fourth largest
country in Eastern Europe by population after Russia, Ukraine and Poland. It has
a population of 22m inhabitants which makes it the size of the Czech Republic
and Hungary combined.



Located in the Balkan peninsula, it shares borders with Hungary and Serbia to
the west, Ukraine and Moldova to the north east, Bulgaria to the south and the
Black Sea to the south east.



The capital city Bucharest has a population of approximately 1.9 million and is
the administrative, political and cultural centre of the country. The city
accounts for c.21% of the country's GDP.



Romania became a member of NATO in 2004 and will accede to the EU on 1 January
2007.



Recent Economic Performance



Since 2000, Romania has made significant economic progress through structural
reform, privatisation and tight monetary and fiscal policies. In the period
1998-2006, the country's total exports grew from $8.3 billion to an estimated
$32.3 billion.



The country has enjoyed six successive years of economic growth from 2001-2006.
 Romania saw growth of 4.1% GDP in 2005 and expects growth of 6.7% in 2006,
making it one of Europe's fastest growing economies.



Inflation fell from 40.6% in 1998 to 8.6% in 2005 and it is expected to fall to
7.0% by the end of 2007.



 Foreign direct investment has increased significantly in recent years, growing
to $6.9 billion up from $2.7 billion in 2003, and the government has announced
the acceleration of the privatisation timetable, which should draw in further
foreign direct investment.



The emergence of a more affluent middle class, predominantly in Bucharest, which
has increasing purchasing power, has stimulated the demand for Western standard
property.



The Property Market



There is currently a chronic shortage of Class A retail space, modern retail
locations and western standard accommodation. This represents a significant
opportunity for investors.



Currently, yields on Romanian commercial property are typically between
7.5-9.0%, offering a favourable premium when compared with investment
opportunities elsewhere in Central and Eastern Europe. The associated risks of
investment in the sector can be reduced by focusing on multi-national tenants,
ensuring that deals are conducted in Euros and working with reliable development
partners with equal equity stakes.



Investment manager



The Fund has appointed Fabian Capital Limited to act as its investment manager.
The Managing Director and key senior employees of Fabian Capital are as follows:



Mark Holdsworth (35), the Managing Director of Fabian Capital, has more than
eleven years' experience in Romania and emerging markets, having worked for
eight years with ING Barings, a member of the ING group. During this period, he
traveled extensively to Romania, building up a network of contacts in the
banking, business and government sectors. In 2001, he was Managing Director, in
charge of the group's equity, broking and trading operations in Eastern Europe,
South Africa and Latin America. In 2003, Mr Holdsworth left ING Barings to
promote his property and business interests on a full time basis. He was a
non-executive director of Netia SA, Poland's largest alternative telecoms
operator, between 2004 and 2006. He is currently a non-executive director of XXI
Century Investments Public Limited, one of Ukraine's leading property
development firms which was admitted to AIM on 16 December 2005. Mr Holdsworth
has over 12 years' property market experience, including residential and
commercial developments. He graduated with a degree in History from the
University of Edinburgh in 1994 and a postgraduate degree in Political Science
from the University of Pennsylvania, where he was a Thouron Scholar, in 1995.



Mark Owen (43) was a director of ING Real Estate until June 2006, when he joined
the Investment Manager. He has 20 years' experience in commercial property,
including development, leasing and asset management, in the UK and Europe. Prior
to this, he worked as a Senior Property Manager at Ladbroke Group plc,
responsible for its large UK portfolio of investment properties across the UK.
He also has experience of acquiring retail units for a variety of high street
retailers and has worked for a number of Commercial Agency practices both in
London and the Thames Valley. He is a member of the Royal Institute of Chartered
Surveyors, having been a Chartered Surveyor since 1988.



Graham Atkinson (37) was, between 2003 and 2006, a Group Finance Manager at
Berkeley Group Holdings plc. Prior to this, he worked as an Investment Banker
with Dresdner Kleinwort Benson and Citigroup (formerly Schroder Salomon Smith
Barney), where he specialised in mergers and acquisitions. He qualified as a
Chartered Accountant with Arthur Andersen in 1996 and graduated with a Master's
Degree at Cambridge University in 1993.



Board of Directors



The directors of the Fund are:



Mark Holdsworth - (please see above)



Jaroslav Kinach (60) has been appointed non-executive Chairman, conditionally
upon Admission and subject to formal approval by the Jersey Financial Services
Commission. Since 2003 Mr Kinach has been an executive director of XXI Century
Investments Public Limited. Previously Mr Kinach was an adviser to the Prime
Minister of Ukraine. From 1995 to 1999 he headed the Office of the European Bank
for Reconstruction and Development in Ukraine. Prior to this he gained extensive
experience in financial services during his 20 year career with the Toronto
Dominion Bank, one of Canada's top commercial banks. Mr Kinach holds a Master of
Business Administration degree from the Graduate School of Business of Columbia
University in New York.



Nigel Le Quesne (45) is the Managing Director of the Jersey Trust Company Group
of companies (the ''JTC Group''). He is a Fellow of both the Institute of
Chartered Secretaries and Administrators and the Chartered Management Institute.
Mr Le Quesne has a number of directorships of both publicly quoted and private
companies and has extensive property experience.



Stephen Burnett (46) is the Finance Director of the JTC Group having joined in
1997, having previously been employed by BDO Carnaby Barrett. He is a Fellow of
the Association of Chartered Certified Accountants. Mr Burnett sits on the Board
of a large number of companies, including property companies and funds.



Philip Burgin (37) is a director of the JTC Group having joined in 1995 from
Morgan Stanley. He is a Fellow of the Institute of Chartered Secretaries and
Administrators and holds a postgraduate diploma in Management Studies. His
experience in property is extensive, including the launch of a Jersey based
Mayfair Real Estate Fund.



Nigel Syvret (44) is a director of the JTC Group having been previously employed
by Price Waterhouse. Mr Syvret is a member of the Institute of Chartered
Secretaries and Administrators and, since March 1999, a member of the Society of
Trust and Estate Practitioners.



Antony Hillman (50) has been appointed as a non-executive Director,
conditionally upon Admission. He is the Non-Executive Chairman of the JTC Group.
He is a founding shareholder of the JTC Group. He was a partner of Crills, a
Jersey law firm until 2002, and a Jersey resident partner of Holman Fenwick &
Willan (Jersey Partnership) until December 2003. He is a solicitor of the
Supreme Court of England and Wales and a member of the Law Society of England
and Wales.







For further information:


Fabian Romania Property Fund Limited
Mark Holdsworth                                  020 7499 9988


Shore Capital
Graham Shore/Dru Danford                         020 7408 4090


Deloitte Corporate Finance
Jonathan Hinton/James Lewis                      020 7936 3000


Pelham Public Relations
Archie Berens/Hugh Barker                        020 7743 6670







Deloitte Corporate Finance is acting as Nominated Adviser and Co-promoter to
Fabian Romania Property Fund Limited and no one else in connection with the
Placing and Admission and will not regard any other person as its client or be
responsible to anyone other than Fabian Romania Property Fund Limited for
providing the protections afforded to clients of Deloitte Corporate Finance or
for providing advice in relation to the Placing and Admission or any matter
referred to herein. Deloitte Corporate Finance's responsibilities as the Fund's
Nominated Adviser under the AIM Rules are owed solely to the London Stock
Exchange plc and are not owed to the Fund or to any Director or to any other
person in respect of their decision to acquire Shares in reliance on any part of
this announcement. Deloitte Corporate Finance is a division of Deloitte & Touche
LLP, which is authorised and regulated by the Financial Services Authority in
respect of regulated activities.



Shore Capital Stockbrokers Limited, which is a member of London Stock Exchange
plc and is regulated by the Financial Services Authority, has agreed to act as
broker to Fabian Romania Property Fund Limited. Persons receiving this document
should note that Shore Capital Stockbrokers Limited is acting exclusively for
Fabian Romania Property Fund Limited and no one else in connection with the
Placing and Admission and will not regard any other person as its client or be
responsible to anyone other than Fabian Romania Property Fund Limited for
providing the protections afforded to clients of Shore Capital Stockbrokers
Limited or for providing advice in relation to the Placing and Admission or any
matter referred to herein.



The directors of Fabian Romania Property Fund Limited collectively and
individually accept full responsibility for the information contained in this
announcement.



This announcement does not constitute an offer to buy or to subscribe for, or
the solicitation of an offer to buy or subscribe for, shares in Fabian Romania
Property Fund Limited.  These shares have not been, and will not be, registered
under the United States Securities Act of 1933 as amended (the 'Securities Act
'), or qualified for sale under the laws of any state of the United States or
under the applicable laws of any of Canada, Australia, the Republic of Ireland
or Japan and may not be offered or sold to the United States or to, or for the
account or benefit of, US persons (as such terms are defined in Regulation S
under the Securities Act) or to any national, resident or citizen of Canada,
Australia, the Republic of Ireland or Japan, or to any corporation, partnership
or other entity created or organised under the laws thereof, or in any other
country outside the United Kingdom where such distribution may lead to a breach
of any legal or regulatory requirement.



The Fund's admission document will be available publicly, free of charge, for at
least one month from the date of Admission at the offices of Beachcroft LLP, 100
Fetter Lane, London, EC4A 1BN and at the registered office of the Fund at
Elizabeth House, 9 Castle Street, St Helier, Jersey JE4 2QP, Channel Islands.



The value of shares can go down as well as up. Past performance is not a guide
to future performance. Persons needing advice should consult a professional
adviser.






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