Amended Investment Licence to Kumho Asiana Plaza Saigon Co.

Mr. Nguyen Huu Tin, Vice Chairman of the Ho Chi Minh City People’s Committee, on August 8, 2005 gave Kumho Asiana Plaza Saigon Co. the amended investment licence regarding a high-rise office building, commercial block and housing apartment at 39 Le Duan Street, District 1, Ho Chi Minh City.

 

The project was licensed by the Ministry of Planning and Investment more than 10 years ago. Accordingly, the Ministry allowed the establishment of the Kumho Saigon Joint Venture Co. between South Korea’s Kumho Industrial Co. and two Vietnamese partners of Saigontourist and District 1 Housing Development & Service Co. to carry out the construction on a complex of high-rise buildings, hotels, commercial centres and apartments at 49 Le Duan St. The project had a total investment capital of US$223 million and a legal capital of nearly US$63 million, in which the Vietnamese parties contributed 35 per cent by the land-use rights on 13,648 square metres of land. The project has a lifespan of 45 years starting from the licensing day.

After having been licensed, the joint venture carried out site clearance. However, the Asian financial crisis in 1997 delayed the project execution twice.

 

By June 2006, the Prime Minister dispatched a document regarding the continuation of the project and transformation from a joint venture into a wholly foreign-owned company. The project will be kicked off in October and will be finished in three years.