VNL, VOF update on residential sales

6 April 2010
For immediate release

VinaCapital Group

Update on residential project sales and marketing

Ho Chi Minh City – VinaCapital Group, a leading asset management, investment banking and real estate firm focused on Vietnam, announces today the results of sales and marketing of residential properties during the fourth quarter of 2009 and first quarter 2010.

During the last six months, a total of almost 130 sales contracts and reservations were recorded at projects in Danang and Ho Chi Minh City, representing total contracts worth over USD36 million.

The Ocean Villas at Danang Beach Resort
The Ocean Villas, launched in late August 2009, has now completed contracts and reservations worth USD73 million. The Ocean Villas, designed and developed by VinaCapital Real Estate Ltd (VCRE), form part of the 260-hectare Danang Beach Resort near the central coastal city of Danang. The centrepiece of the Danang Beach Resort is a Greg Norman-designed golf course due to open on 29 April 2010. Greg Norman inspected the site in late March 2010. During his visit, Mr. Norman signed a marketing agreement with VCRE to develop a 42-villa Norman Estate on land adjoining the 15th and 16th fairways. The “Norman Estates at Danang Beach Resort” (Phase 6 of the Danang Beach Resort) will be launched in Q4 2010 and is expected to generate considerably more revenue for the project.

The Cham Condominiums at Danang Beach Resort
VCRE launched this mid-rise condominium project at Danang Beach Resort in February 2010. The three-tower complex is situated among the Ocean Villas and offers magnificent ocean views. Presales were strong, allowing construction of the first tower to start in March 2010, along with construction of a central management facility building and beach club. The project will be built in three phases and is expected to generate more than USD30 million in revenue over the next 18 months.

The Azura Apartments at World Trade Center Danang
The display centre for the 32-level Azura Apartments opened on the 19 March and has received confirmed reservations for over 20 percent of the available apartment units, representing revenue of USD8 million. Construction is underway, with completion expected by November 2011.

The Garland, Ho Chi Minh City
Following the 2009 soft launch of the project’s villa component which saw sales reservations for all 53 homes within one week, construction has started after the project’s official launch in January 2010. Prices ranged from USD240,000-600,000 per unit. Following the success of The Garland villas launch, VCRE plans to proceed with development of a condominium tower of 100 apartments as part of the waterfront District 9 site.

Launch of the VinaLiving brand
The Garland villas were the first VCRE-developed project launched under the VinaLiving brand, Vietnam’s first tailored living and lifestyle brand, which will be the retail sales vehicle for all VinaCapital-developed residential real estate projects.

“The sales reservations recorded in the first quarter of 2010 have been encouraging and indicates the strength of Vietnam’s residential real estate market,” says David Henry, Managing Director of VinaCapital Real Estate Ltd.

“Demand continues to be strongest in the mid-range market addressing Vietnam’s rising middle class. Vietnam’s GDP growth rate of 5.8 percent for Q1 2010 is due to the strength of its domestic economy, and this is driving the organic growth of the local real estate market.

“We are very pleased with the performance of our current projects. We are confident that the five VinaLiving projects to launch in 2010 will meet with similar success,” David says.

The upcoming VinaLiving launches include the first phase of the Dai Phuoc Lotus island township in Dong Nai Province, near Ho Chi Minh City, which will feature 332 semi-detached and detached houses. The display centre is now under construction and due to open in August 2010.

VinaCapital Real Estate Ltd is the developer of real estate assets owned by VinaLand Limited (VNL.L) and the Vietnam Opportunity Fund (VOF.L), two AIM-traded closed-end funds managed by VinaCapital Investment Management Ltd. VNL and VOF have invested in a 75/25 percent ratio, respectively, in all the residential development projects mentioned above except The Garland, which is wholly-owned by VNL.

Forward-looking statements:
This news release contains statements that constitute forward-looking statements that include but are not limited to statements regarding the expected income generated from residential real estate sales of both built and unbuilt properties owned by funds managed by VinaCapital Group (“the Company”). Undue reliance should not be placed on forward-looking statements. Forward-looking statements are based on current expectations, estimates and projections that involve a number of risks and uncertainties, which could cause actual results to differ materially from those anticipated by the Company and described in the forward-looking statements. These risks and uncertainties include but are not limited to construction risks and delays, and unforeseen changes to general economic and business conditions. Forward-looking statements are based on the estimates and opinions of the Company's management at the time the statements are made. The Company assumes no obligation to update forward-looking statements should circumstances or management's estimates or opinions change, except as required by law.

Notes to Editors:
VinaCapital Group is a leading asset management, investment banking and real estate development firm with unrivalled experience in the Vietnam market. VinaCapital Group was founded in 2003 and has grown from a single USD10 million fund to a diversified investment firm with over USD1.7 billion in assets under management as of March 2010.

VinaCapital manages three closed-end funds trading on the AIM Market of the London Stock Exchange. These are: VinaCapital Vietnam Opportunity Fund (VOF); VinaLand Limited (VNL); and Vietnam Infrastructure Limited (VNI). VinaCapital also co-manages the DFJ VinaCapital technology venture capital fund with Draper Fisher Jurvetson. More information is available at www.vinacapital.com

Enquiries:
Michael L. Gray
VinaCapital Group, Communications
+84 8 3821 9930
michael.gray@vinacapital.com

Hiroshi Funaki +44 20 7845 5960
LCF Edmond de Rothschild Securities, Broker
funds@lcfr.co.uk

Alastair Hetherington
Financial Dynamics, Public Relations (Hong Kong)
+852 3716 9802
alastair.hetherington@fd.com

Andrew Walton
Financial Dynamics, Public Relations (London)
+44 207 269 7204
andrew.walton@fd.com

Philip Secrett
Grant Thornton Corporate Finance, Nominated Adviser
+44 20 7383 5100
philip.j.secrett@gtuk.com