Saigon Asset Management and An Khanh Electricity JSC Sign Strategic Partnership

(Ho Chi Minh City, August 8, 2011)- Saigon Asset Management (SAM), the investment manager of the two listed investment funds Vietnam Equity Holding (VEH) and Vietnam Property Holding (VPH), has announced the official signing of a Memorandum of Understanding with An Khanh Electricity Joint Stock Company (An Khanh).

This announcement corresponds with SAM’s announcement that it will begin raising capital for a new energy focused fund to invest in the Indochina region of Vietnam, Laos, and Cambodia.

An Khanh is currently constructing An Khanh I, which will have a production capacity of 100 MW and will utilize coal from a mine located directly adjacent to the power plant site. Financing for the project will be provided by the Bank of China. Site clearance for its 300 MW An Khanh II thermal power plant is anticipated to commence in Q4 2011. Located in Thai Nguyen Province in northern Vietnam, these two new thermal power plants will help meet the growing electricity demand in the industrially active province.

Thai Nguyen Province is home to many energy intensive industries including mining, steel production, and manufacturing of construction materials. For the last five years, the GDP growth rate in the province has been between 12.0-12.5%, making it a major contributor to the industrial output of the country. This continued growth has led to significantly increased energy demand, creating a unique opportunity for partners An Khanh and SAM to invest in the booming province.

SAM’s new energy focused fund intends to acquire equity interests in thermal and hydro power projects in Vietnam, Laos, and Cambodia. The consistently high GDP growth rate in the Indochina region has and will continue to require significant investment in the power sector. The recently announced Master Plan 7 for Vietnam’s National Power Development calls for new investment of US $48.8 billion in order to triple electricity capacity to 75,000 MW by 2020.

SAM will begin raising capital for its new energy fund in late September 2011. With an expected initial size of US$300 million, the new energy fund will enable investors to capitalize on surging demand, market deregulation, and upward trending electricity tariffs in the economically exciting Indochina region.


About Saigon Asset Management

Established in 2007, SAM is the investment manager of Vietnam Equity Holding (VEH) and Vietnam Property Holding (VPH). Both funds are listed and traded on the Frankfurt Stock Exchange and Xetra. VEH invests in listed, pre-listed, and private companies, capitalizing on the strong growth of the Vietnamese middle class. VPH invests in real estate projects and companies, concentrating in middle-end residential and retail projects. VEH was ranked as the top performing Vietnam focused equity fund in 2008 and VPH was the top performing Vietnam focused property fund in 2009.


About An Khanh Electricity Joint Stock Company

Located in economically booming Thai Nguyen province, An Khanh Electricity is working to become a major electricity producer in the area. With two thermal power plant projects totalling a projected 400 MW, An Khanh will help fuel the growth of the major industries in Thai Nguyen and throughout the 12 surrounding provinces, directly impacting GDP growth.


Contact:
Kevin Lau-Hansen
Investor Relations Analyst
Saigon Asset Management
Email: This e-mail address is being protected from spam bots, you need JavaScript enabled to view it    
Website: www.saigonam.com

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