Monthly Investor Report

RNS Number : 0873L

VietNam Holding Limited

20 December 2018

 

VietNam Holding Limited ("VNH" or the "Company")

Monthly Investor Report

A report detailing the activities of the Company for the month November 2018 has been issued by Dynam Capital Management Limited, the investment manager of the Company. Electronic copies of the report have been made available to shareholders on the Company's website at http://www.vietnamholding.com/publications/investor-reports and a summary of the report is included below.

Investor Report Summary

"We've come a long way. But still there are bumps"

After a horrid October, November continued to see malaise across the Vietnam market with liquidity drying up significantly. Average daily liquidity dropped from USD 300m to around USD 100m at times. It should be remembered that 15 years ago the total market capitalisation was only USD 300m, so we have come along way. Over the last 15 years, the private sector has also come along way as well. During the month it was reported that a Vietnamese company - Truong Hai - the number one auto company in Vietnam and a portfolio company of Jardine Cycle&Carriage, had expanded significantly in Myanmar in real-estate; and Vincom (a local conglomerate) had announced plans to build a domestic smart-phone. It is hard to keep Vietnamese entrepreneurs down.

Our core focus remains the same: growth from mid-cap companies, playing to themes of increased urbanisation, growth in consumer demand and enablers (logistics, finance etc). We think that the stocks in our portfolio are well positioned to see strong future growth.

During November the performance of the Portfolio was below most of the indices and the NAV per share fell by 2.8%, bringing year-to-date return to -11.0%, in line with the VNAS and VN30 indices. We are considering including the VN70 index as an additional reference point for 2019, as it may have greater relevance for our mid-cap bias.

Following the Successful EGM on 31 October, the Manager separated 15% of the portfolio into a Tender Pool and commenced selling the securities in that pool during the month of November. By the end of November approximately 60% had been sold, and USD 1.50 per share was distributed in cash in early December with a Total tender pool value (distributed and undistributed) equivalent to approximately USD 2.70 a share at month end. The balance of the tender pool will be sold during December and the aim is to make a final distribution before 31st December 2018. Updates will be made in relation to further distribution in due course.

We thank all investors for their support and wish you the very best of the festive season.

For more information please contact:

Dynam Capital Limited                  

Craig Martin

[phone]

[e-mail] |www.dynamcapital.com

www.vietnamholding.com

finnCap

Nominated Adviser and Corporate Broker                                         Tel: [phone]      

William Marle / Giles Rolls

 

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