VinaLand Limited Distribution of Capital and Divestment (2331R)

TIDMVNL

RNS Number : 2331R

VinaLand Limited

13 June 2018

13 June 2018

VinaLand Limited (the "Company" or "VNL")

Distribution of Capital from Share Premium Account of the Company and Divestment of stake in the Aqua City project

Ho Chi Minh City - VinaLand Limited, the AIM-quoted investment vehicle established to target strategic segments within Vietnam's emerging real estate market, announces that it will make a distribution of USD0.33 per ordinary share from the Company's Share Premium Account.

The distribution of approximately USD53.9 million in total will be returned equally to all shareholders, representing USD33 cents per ordinary share.

Details of the distribution are as follows:

   --   Ex-distribution date:      Friday, 22 June 2018 
   --   Record date:                    Monday, 25 June 2018 
   --   Paid date:                         Thursday, 28 June 2018 

Furthermore, the Company announces that it is divesting its stake in the Aqua City project (the "Project"), located in Dong Nai province, Vietnam. The Project consists of a total land area of approximately 112ha and was acquired by VNL in 2008, with the land designated for future residential development. VNL is divesting its entire stake in the Project to Bach Kim Real Estate Company Limited for net cash proceeds of USD45.2 million which includes the repayment of shareholder loans, resulting in an IRR of -1.6% to the Company. The total valuation is recorded at 20.5% above the 31 Mar 2018 unaudited net asset value, and 57.6% above the unaudited net asset value at the time of VNL's extraordinary meeting in November 2016, both figures include adjustments for additional investments up to the date of exit. At the time of this announcement, USD40.5 million or 89.6% of the net proceeds have been received by the Company, and it is expected that all proceeds will be received by the Company by the end of June 2018.

Speaking on the transaction, Managing Director David Blackhall stated, "This divestment is in accordance with the current stated policy to divest projects in a controlled and orderly manner, and good progress has been made with the closure of several disposals during 2018. The proceeds received from this disposal will, in conjunction with those collected from recent disposals will be used to cover VNL's commitments including operating costs, capital contributions and further distributions to shareholders."

More information on the Company is available at https://vnl.vinacapital.com/.

The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

For enquiries:

Jonathan Viet Luu / Joel Weiden

VinaCapital Investment Management Limited

Investor Relations / Communications

[phone]

[e-mail] / [e-mail]

Philip Secrett

Grant Thornton UK LLP, Nominated Adviser

[phone]

[e-mail]

David Benda / Hugh Jonathan

Numis Securities Limited, Broker

[phone]

[e-mail]

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June 13, 2018 03:07 ET (07:07 GMT)