Press Coverage ARCHIVE 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 DATE EXTRACTS SOURCE 11 December 2009 Aseana Property Enters MoU For Co-Devt Of Site In Kuala Lumpur Aseana Properties Ltd, a property developer investing in Malaysia and Vietnam, said Friday that it has entered into a non-binding memorandum of understanding, or MoU, in relation to the co-development of a prime development site located in the heart of Kuala Lumpur City Centre, or KLCC. MAIN FACTS: - The Site is strategically located on Jalan Kia Peng - With a land area of 43,559 square feet, Aseana and its investment manager, Ireka Development Management Sdn. Bhd., envisage an upscale residential development on the Site that would appeal to the lifestyle of urban Malaysians and foreign expatriates. - The owners of the Site have stipulated a commercial condition of only selling the Site to a local Malaysian company and offered the Site to Ireka Corporation Berhad, or ICB, the parent company of Ireka and a major shareholder in Aseana. - ICB is listed on Bursa Malaysia. - ICB expressed its interest in purchasing the Site and informed Aseana of this intention. - As Aseana is unable to purchase the Site directly, ICB subsequently invited Aseana to co-invest and co-develop the Site upon successful acquisition of the Site by ICB. - ICB, proposes to acquire the Site through a 100% owned subsidiary, World Trade Frontier Sdn. Bhd., or SPVCo, and the MoU contemplates Aseana taking up a 70% stake in the SPVCo for an amount that would value the SPVCo at Ringgit Malaysia 87,120,000, plus incidental costs arising from the transaction. - ICB will continue to hold a 30% stake in the SPVCo. Dow Jones Newswire November 2009 Reality check for real estate as economic boom falters Rents have sunk in former investors’ favourite Vietnam, as oversupply and the global downturn take their toll. But capital values have largely held up and long-term prospects are good, especially for retail. After booming in 2007 and 2008, Vietnam’s commercial property market, like the rest of the country’s economy, has been badly hit by the global downturn as well as by its own domestic problems. According to Chan Chee Kian, director of strategy and corporate development at Ireka Development Management, the development manager for listed fund Aseana Properties: “Even before the global economic downturn hit Vietnam in summer 2008, Ho Chi Minh City office rents were already falling. However, Chan adds: “Office rents seem to be bottoming out at [current] levels, which look sustainable, given the sizeable foreign direct investment that has been pledged for Vietnam over the past three years.” David Blackhall, deputy managing director of real estate at VinaCapital Group, says: “The downturn had a significant impact on Vietnam’s hospitality and office markets. But the real estate market has stabilised over the past quarter, following the market correction in 2008, and many investors now view pricing as more reasonable and at fair value. Although investors are somewhat pessimistic about short-and medium-term prospects for Vietnam’s office sector, they are still bullish about its retail market. The residential sector is also proving to be of interest. VinaCapital’s Blackhall adds: “The retail sector has barely been touched by the global downturn, due to extremely limited supply in Vietnam. The retail and residential sub-market are the most active. The retail market has a lot of growth potential primarily due to a very limited supply of modern facilities.” But whatever the short-term prospects for investors in Vietnam’s commercial property market, investors agree that the country’s long-term prospects look good. “We believe the property market in Vietnam has now stabilised and as such we feel valuation will begin to rise,” says Blackhall. AsiaProperty 27 November 2009 ASEANA PROPERTIES LTD, an Asian property developer investing in Malaysia and Vietnam, said that the project company for the KL Sentral development in Kuala Lumpur, in which it owns a 40% stake, has sold Tower 2 to an international real estate fund. The tower, which has 500,000 square feet of floor space, was sold for MYR458.4 million and is subject to certain deferred payment terms and other conditions. Dow Jones Newswire 24 November 2009 Aseana Prop Signs Joint Venture Agreement With Nam Long Aseana Properties Limited, an Asian property developer investing in Malaysia and Vietnam, announced Monday that it has entered into a conditional Joint Venture Agreement with Nam Long Investment Corporation, to develop an upscale residential development in Tan Thuan Dong area, District 7 of Ho Chi Minh City. Aseana will be taking an 80% stake in the joint venture company. The development is strategically located in District 7 of Ho Chi Minh City, a prime suburban residential and commercial location of choice for many Vietnamese and expatriates. Located over 20,158 square metres, and with a commanding view of the recently completed Phu My Bridge spanning the Saigon River, the development will consist of two towers of up-scale residences and a small purpose-built commercial area. The development is expected to derive a Gross Development Value of $120 million. With over seventeen years of track record, and a land bank of over 570 hectares in prime location across Southern Vietnam, Nam Long has established itself as a leading player in the real estate industry in Vietnam. In July, Aseana announced that it had acquired a strategic minority stake in Nam Long and established an exclusive agreement to develop property projects with Nam Long in Ho Chi Minh City. Dow Jones Newswire 23 November 2009 Aseana Properties Enters Into Conditional JV Agreement With Nam Long Investment - Aseana Properties Limited said it has entered into a conditional Joint Venture Agreement with Nam Long Investment Corp to develop an upscale residential development in Tan Thuan Dong area, District 7 of Ho Chi Minh City. The completion of the Joint Venture Agreement is conditional upon the award of Investment License to a joint venture company which will be formed between the Aseana and Nam Long, and the transfer of the Land Use Rights Certificate for the development land to the joint venture company. Aseana will be taking an 80% stake in the joint venture company. The development is expected to derive a Gross Development Value of approximately US$120 million. RTTNews.com October 2009 Asian developer Aseana Properties Ltd has entered a conditional agreement to acquire the remaining stake in the SENI Mont’ Kiara project in Kuala Lumpur. Aseana’s subsidiary Amatir Resources Ltd will pay MYR11,700,700 to Heliconia Investment Pte Ltd for the stake upon Amatir obtaining necessary consent from the project financiers. The purchase represented Aseana’s belief in the potential of the high-end Kuala Lumpur market, said the company’s chairman. Overseas Property Professional 14 September 2009 Aseana Properties Ltd. (ASPL.LN), an Asian property developer on the Official List of the London Stock Exchange, said Thursday that, via its subsidiary Amatir Resources Ltd., it has bought the remaining stake in the SENI Mont' Kiara condominium development project from Heliconia Investment Pte. Ltd. for MYR11.7 million. Dow Jones Newswire September 2009 London-listed Aseana Properties is delighted to announce that its seafront urban renewal project, Sandakan Harbour Square, received a 4-star in the Commercial Redevelopment category for the Asia Pacific Property Awards 2009. The Sandakan Harbour Square project is located within the Central Business District of Sandakan, and has Gross Development Value of $141 million. Construction works for Phase 3 and 4 is currently ongoing, which comprises a 5-storey shopping mall, a 240-room and a Convention Centre within a 26-storey block – targeted for completion by the end of 2010. Architect, Builder, Contractor & Developer (ABC&D) 7 September 2009 Aseana not helped by P&L rule change Accountancy regulations have been making life difficult for Aseana Properties Ltd, the London-listed property company focused on Malaysia and Vietnam. The group has adopted the International Financial Reporting Interpretations Committee (IFRIC) interpretation - IFRIC 15 - relating to the construction of real estate. IFRIC became effective on 1 January, 2009. The ruling means that revenue is now recognised when significant risks and rewards of ownership have been transferred to the purchasers, which effectively means on completion and delivery of vacant possession of the property to the buyers. The new interpretation is ‘not great for a company like ours, where there is a three to four year gap from the day you buy [the land] to the day you sell,’ said Monica Lai, chief financial officer of Ireka Development Management, Aseana’s development manager. The impact of the change to revenue is significant for a company like Aseana, which sells properties on an off-plan basis, as it affects the income statement in a negative way during the period of construction. ‘Going forward we will do a lot more planning to ensure a more even flow of turnover,’ Lai asserted. ‘The adoption of IFRIC 15 is compulsory and we believe that investors of property funds will eventually get familiar with the accounting treatment to appreciate its implications,’ Lai added. In the meantime, the company has restated its previous accounts, resulting in an operating loss of $0.86m versus a loss of $4.51m a year earlier in what it described as a quiet first half to 2009. With property prices still generally on a downward path the company has been spending some of its cash pile on share buy-backs, snapping up almost 15% of the company’s shares, which are currently being held in treasury. Shareholders have authorised the company to buy another 14.99% of shares from the market, and with the shares trading at about a quarter of the price they floated at back in April 2007 a share buyback makes commercial sense, but the company was established to take advantage of property development opportunities in Malaysia and Vietnam and it will continue to ‘pursue a cautious but opportunistic approach in the second half of the year’ in these markets. Sharecast (web) 27 August 2009 Losses Narrow at Aseana Vietnam and Malaysia focused property developer Aseana Properties saw revenue of $11,23m in the first half of 2009 from the completion of the Sandakan Harbour Square Phase 2A and the sale of i-ZEN@Kiara I units. The company has adopted new accounting standards so that revenue is now recorded on delivery of vacant possession to purchasers, as a result of which last year’s accounts have been restated and thus show zero revenues for the first half. ‘There have not really been a lot of significant events since last November,’ Monica Lai, chief financial officer of Ireka Development Management, Aseana’s development manager, told Sharecast. ‘Things picked up in April and we’ve been doing quite a bit in Vietnam on the approvals front,’ Lai added. The group plans to pursue a cautious but opportunistic approach in the second half of the year as conditions stabilise in Vietnam and Malaysia. Sharecast (web) 1 August 2009 The Real Deal In an industry where optimism has taken a battering, property funds provide perhaps the best source for good news recently. Are there a lot of distressed opportunities in Malaysia and Vietnam where you are looking? Yes and no. When we first listed in 2007 the market was at its peak and people were asking too much. We are not looking for distressed purchases but even so right up until the 3rd quarter of 2008 it was still extremely difficult to get anywhere with negotiations. Now people are more realistic, but in places like Vietnam the downturn hasn’t been as severe as in Europe and the US and people are already talking about prices rising again. There’s still a bit of mismatch in terms of expectations between the investors and owners. Chan Chee Kian, Senior VP, Strategy & Corporate Development, Aseana Properties Ltd Overseas Property Professional 16 July 2009 Award for Malaysian Harbour Renewal Sheme A seafront urban renewal project in Malaysia has been awarded four stars in the Commercial Redevelopment/Renovation category in the Asia Pacific Property Awards 2009. Developed by Aseana Properties Ltd, The Sandakan Harbour Square project is located within the central business district of Sandakan (in Sabah), an increasingly popular tourist destination in Malaysia, which has an estimated gross development value of US$141m. “We are honoured that the Sandakan Harbour Square project has been so highly recognised at the CNBC-Asia Pacific Property Awards 2009,” said Dato’ Mohammed Azlan bin Hashim, chairman of Aseana Properties Ltd. “Being at the heart of the Sandakan central business district, Sandakan Harbour Square will certainly be pivotal in the revitalisation of the town, bringing sustained growth and prosperity. “In addition to providing international standards in retail and leisure facilities, Sandakan Harbour Square also represents the revival of Sandakan as a new hub for commerce and tourism in the state of Sabah.” RICSbusiness.com May 2009 Aseana Properties The global recession has slowed down but not stopped the UK-listed developer’s activities in its Vietnamese and Malaysian markets. Lai Voon Hon, president and chief executive of Ireka Development Management, says: “the global financial slowdown has not spared the economies of Malaysia and Vietnam, but we are optimistic about the longer-term outlook in these economies, and we are confident that the market will withstand the current difficulties. “Until then, we will continue to take an opportunistic approach in our involvement with these markets, so that we can leverage on the prospects when market conditions improve.” But the downturn has also brought opportunities for Aseana. In January the company acquired the remaining 40% stake in ICSD Ventures from partner Geo Fusion Resources, a local developer, which needed to exit the deal. The deal gave Aseana Properties a 100% stake in the Sandakan Harbour Square retail and hotel project in Malaysia. Aseana paid MR15m ($4.3m) for the 40% stake, comprising 70% cash and 30% in the form of completed properties at the project. The scheme will be developed over four phases with projected gross development value of around $141m. AsiaProperty 22 April 2009 DY Aseana Bd Agrees To Share Buyback Plan of Up To 10% of Shares London (Dow Jones Newswire) – Asian real-estate developer Aseana Properties Ltd (ASPL.LN) Wednesday said its board has agreed a share buyback plan of 10% of its issues shares. Aseana, which is developing residential and commercial properties in Malaysia and Vietnam, had revealed plans for the buyback Friday as it looks to boost shareholder value. Dow Jones Newswire 17 April 2009 Aseana’s Loss Widens; Sees Mid-2010 Market Recovery London (Dow Jones Newswire) - Asian real estate developer Aseana Properties Ltd (ASPL.LN) Friday said it swung to a wider full-year loss as heavy foreign exchange losses weighed on earnings, and it expects 2009 to be a tough year. Aseana intends to focus on finishing the development of its core 12 projects in 2009 in a bid to be ready for an anticipated recovery in the real estate markets in Malaysia and Vietnam in mid-2010, Monica Lai Voon Huey, Chief Financial Officer of Ireka Development Management, Aseana’s development manager, told Dow Jones Newswire Newswires. “We expect markets to recover by the middle of next year,” she said Friday. In the meantime, Aseana also said it is planning to buy back shares to boost shareholder value. The company, which is developing residential and commercial properties such as shopping centers and condominiums in Malaysia and Vietnam, reported a 2008 pretax loss of $8.8 milllion, compared with a loss of $1.2 million a year earlier. Unrealized losses caused by the decline in value of cash and loans held in foreign currencies when recognized in U.S. dollars cost it $10.2 million, Aseana said. Still, revenue more than doubled to $97.9 million from $45.2 million following sales of completed properties in Malaysia. Monica added that Aseana, which had $67 million in cash on its books at the year-end, will look for opportunities to acquire more land during 2009. Dow Jones Newswire 17 April 2009 Asian property developer Aseana Properties Ltd reported a huge loss for the 12 months ending December 31, 2008, mainly due to a hefty foreign exchange loss in the latest period. Looking forward, the company said it sees a challenging year for real estate development in Malaysia and Vietnam. The company reported a gross profit of $6.53 million, while in the 15-month period, it recorded a net loss of $1.06 million. Operating loss in 2008 was $11.05 million and $5.44 million in the 15 months to December 31, 2007. According to the property developer, its current overall portfolio of investments includes 12 projects in Kuala Lumpur, Kota Kinabalu and Sandakan in Malaysia, and Ho Chi Minh in Vietnam. Commenting on the results, Dato’ Mohammed Azlan bin Hashim, Chairman of Aseana Properties Ltd, said, “Aseana Properties has made significant progress in delivering on its strategy in the 2008 financial year, largely through positioning itself as an investment gateway to the real estate markets in Malaysia and Vietnam. We have successfully completed a development project in Malaysia and have further strengthened our presence in Vietnam through three investments.” Looking ahead, the company said 2009 would be a challenging year for real estate development in malaysia and Vietnam. However, the company has taken a cautious approach in its investments activities to maintain a healthy balance sheet and a strong cash flow position.” Quote.com (Japan) 4 March 2009 Vietnam Plans Still Intact Ireka Corp Bhd, via Aseana Properties Ltd, will continue the planning for its projects in Vietnam worth RM4.65 billion (US$1.25 billion) despite market uncertainties while taking a cautious approach on its project locally. Ireka Development Management is the exclusive Development Manager for Aseana, a London stock exchange-listed entity. President/ CEO Ireka Development Management Sdn Bhd Lai Voon Hon said in the middle of last year, Aseana has received an Investment Licenses for Queen’s Place and International Hi-Tech Healthcare Park, both of which are mixed development with residential component.  Malaysian Reserve 1 March 2009 Eastern Promise There is only one Asian property investment trust listed in London: Aseana Properties Ltd, a Jersey-registered company focused on development opportunities in Malaysia and Vietnam. Money Observer March 2009 Beating a Path to London Dato’ Mohammed Azlan Bin Hashim, Chairman of Aseana Properties Limited “A listing on the Main Market of the London Stock Exchange has enabled Aseana to gain exposure to a wide range of the international investment community, since it is one the major capital markets in the world. The listing has enhanced Aseana’s reputation and esteem. Additionally, the Exchange is recognized for its pragmatic approach to regulation, placing significant emphasis on corporate governance. Its well-defined regulatory framework further adds to the confidence placed on Aseana Properties by its investors and shareholders. For a company based outside the UK, it was vital that we had the advantage of operating within a well-balanced and efficient regulatory framework. “In our experience, the time-to-market was also commendable as Aseana Properties experienced an efficient listing schedule. Allowing the company to tap into the capital market, ensuring its ability to capitalize on the fast-paced ooportunities in Southeast Asia, especially in Malaysia and Vietnam. It was indeed a significant milestone, as it was the first Malaysian property fund to be listed on the Exchange.” LSE Publication – Bringing the World to London 17 January 2009 Local Property Market still Attractive and Sustainable On the property development front, Ireka will continue to earn a management fee from Aseana Properties Ltd (Ireka holds a 19.6% investment stake in Aseana) as its exclusive development manager. We will focus on completing projects like Tiffani by i-ZEN by the third quarter of this year. Ireka Corp Bhd Executive Director Lai Voon Ho said, “For new projects, it is important for us to continue undertaking detailed market studies on the specific target markets. Innovative, targeted marketing strategy and branding initiatives are important steps to ensure that we focus on reaching the right audience.” The Star 17 January 2009 Main board-listed Ireka Corp Bhd’s exposure to the Vietnam market is mainly through its 19.6% stake in London-listed Aseana Properties Ltd as well as the appointment of wholly-owned subsidiary Ireka Development Management Sdn Bhd as the exclusive development manager for Aseana. The successful London-listing of Aseana in April 2007 was initiated by Ireka. In mid-2008, Aseana received investment licences for Queen’s Place (formerly known as Horizon Place) and International Hi-Tech Healthcare Park in Vietnam; both are mixed developments with residential component. Queen’s Place will cover 8,400 sq m adjacent to the central business district in Ho Chi Minh City and the Hi-Tech Healthcare Park will be a fully integrated “Medical City” with approximately one million sq m of gross floor area. Meanwhile, all of Aseana’s other pipeline projects in Vietnam are still at the master planning and approval stages. Ireka Development president Lai Voon Hon says: “This includes Wall Street Centre (District 1, Ho Chi Minh), Nam Khang Resort & Residences (Danang) and One Saigon. In July last year, Aseana also acquired a strategic stake in Nam Long Corp, one of Vietnam’s leading property developer with over 500ha of land bank in Ho Chi Minh City and neighbouring provinces. Through this partnership, Aseana is expected to co-develop at least four property development projects with Nam Long in Vietnam.” On the company’s outlook for Vietnam, he says: “Vietnam is frequently compared to China of a decade ago and therefore is thought that the current challenging environment mirrors that of China in the mid-1990s. This is as a result of rapid growth, in which there is bound to be a reactionary correction but eventually will be followed by stabilisation and growth. “Hence, though it may be a challenging environment today, I am optimistic that the property market will ride out this uncertainty and will be on an upturn in the next four to five years). We will take an opportunistic approach in our involvement so that we will be there when the market takes an upturn.” The Star 14 January 2009 Aseana Properties Limited has entered into a conditional sale and purchase agreement to acquire the remaining 40 percent stake in ICSD Ventures Sdn Bhd from Geo Fusion Resources Sdn Bhd. The acquisition will give Aseana Properties an effective 100 percent stake in the Sandakan Harbour Square project. Aseana Properties will pay 15 million ringgit for the 40 percent stake. Sandakan Harbour Square is a redevelopment project aimed at rejuvenating the urban centre of Sandakan, Malaysia, expected to be completed in forth quarter of 2010. Nasdaq 13 January 2009 Aseana Properties Buys 40% of ICSD Ventures for $4.3M Aseana Properties, an Asian property developer, said Tuesday that it has entered into a conditional agreement to acquire the remaining 40% stake in ICSD Ventures Sdn Bhd from Geo Fusion Resources Sdn Bhd for MYR15 million ($4.3 million). The project will be developed over four phases with a combined GDV of $141 million. Dato’ Mohammed Azlan bin Hashim, Chairman, said,” Despite current challenging economic climate, our investment principles remain unchanged. We continue to seek and identify investments that will add compelling value to the Company and for our shareholders”.   Dow Jones Newswire