VietNam Holding Ltd - Portfolio Update

VietNam Holding Limited

(the "Company")

Portfolio Update

The Board of Vietnam Holding Limited (the "Company") is pleased to report that the Company, through its Investment Manager, Dynam Capital, has entered into a supplemental agreement with portfolio company A BA Business Solutions Corporation ("ABA": A BA Cooltrans - a leading Vietnamese cold chain logistics company) to extend the repayment date on convertible bonds in ABA held by the Company from 27 November 2020 to 29 March 2021. The supplemental agreement also provides for an increase in the coupon rate on the convertible bonds owned by the Company.

The Company first invested in ABA in July 2019 via the purchase of the Vietnam Dong equivalent of US$ 6 million in convertible bonds which carried a coupon and the right to convert into equity within the three-year term of the bonds ahead of a possible future IPO or listing in Vietnam, subject to prevailing limits on foreign investment. In August 2020, the Company decided to seek early repayment of the principal, with a repayment date of 27 November 2020 (and recorded as such in the 2020 Annual Report of the Company). The Company has since agreed to ABA's request to extend the repayment date of the principal to allow ABA greater flexibility as it is in the process of an expansion of its operations and a parallel refinancing of its facilities, and there have been some delays in the refinancing due to COVID-19.

The Company's investment in ABA accounts for approximately 5% of its estimated Net Asset Value as at 27th November 2020. The agreement is not anticipated to have a material impact on the Company's Net Asset Value (NAV).

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About the Company

Vietnam Holding (LSE:VNH) is a main board listed closed-end investment company. The Company is domiciled in Guernsey, and is managed by Dynam Capital Limited, a Guernsey regulated fund manager.

On 30 October 2020, the Company completed a tender offer for 15% of the Company's shares at a price of $2.5857, a 2% discount to the prevailing NAV per share at 30 October 2020. On 27 November 2020 the Company's estimated NAV was USD 127.4 million, equivalent to $2.9670 per share. Since the beginning of the Financial Year (1st July 2020) the Company's NAV/Share has risen by an estimated 28.6%.