Aseana Properties Limited Disposal and Publication of Investor Update (9951I)

TIDMASPL

RNS Number : 9951I

Aseana Properties Limited

23 June 2017

Aseana Properties Limited

("Aseana")

Sale of Land at International Healthcare Park in Ho Chi Minh City, Vietnam

and

Publication of Quarterly Investor Update

Aseana Properties Limited (LSE: ASPL), a property developer in Malaysia and Vietnam listed on the Main Market of the London Stock Exchange, announces that its 72.35% owned subsidiary, Hoa Lam-Shangri-la Healthcare Limited Liability Company ("HLSL"), has completed the sale of a plot of 1.23 hectares of land at International Healthcare Park ("IHP"), through the sale of its 100 per cent stake in HLSL 5 Limited Liability Company ("HLSL 5") to Tien Phat Consultancy Investment Company Limited, for a total consideration of US$5.47 million.

In addition, HLSL has entered into a conditional sale agreement with Tri Hanh Consultancy Company Limited to dispose of HLSL's 100 per cent stake in HLSL 6 Limited Liability Company ("HLSL 6") for a total consideration of US$7.73 million. HLSL 6 holds a 1.19 hectare plot of land at IHP. The completion of this transaction is subject to approval from the local authorities, which is expected by the end of Q3 2017.

Aseana will record a gain of approximately US$1.21 million for HLSL 5 and upon completion, US$3.80 million for HLSL 6. The total sale consideration for represents a 21.6% premium for HLSL 5 and a 40.5% premium for HLSL 6 compared to the appraised market value of the land. The proceeds from these divestments will be used as working capital and to repay bank borrowings at IHP. These transactions are part of Aseana's strategy to realise assets and reduce gearing at the Group level.

The sale of these two plots of land brings the total number of plots divested at IHP to seven. The remaining twelve plots of land, measuring 11.29 hectares, have a total appraised market value of approximately US$37.9 million. Significant marketing efforts are currently underway by the Aseana's Development Manager to dispose of these remaining plots.

Separately, Aseana has issued its Quarterly Investor Update for the three-month period to 31 March 2017, a copy of which can be obtained from Aseana's website at: http://www.aseanaproperties.com/quarterly.htm.

For further information:

 
 Aseana Properties Limited               Tel: [phone] 
 Chan Chee Kian                          Email: [e-mail] 
 
 N+1 Singer                              Tel: [phone] 
 James Maxwell / Liz Yong (Corporate 
 Finance) 
 Sam Greatrex (Sales) 
 
 Tavistock                               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.

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 50 years of experience in construction and property development. IDM is responsible for the day-to-day management of Aseana's property portfolio and the divestment of existing properties.

This information is provided by RNS

The company news service from the London Stock Exchange

END

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June 23, 2017 03:22 ET (07:22 GMT)