Aseana Properties : Full Year Results for the year ended 31 December 2022

ASEANA PROPERTIES LIMITED

ANNUAL REPORT

2022

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CONTENTS
3	12
Corporate Information	Corporate Social Responsibility
4	14
Corporate Strategy	Board of Directors
5	16
Chairman's Statement	Directors' Report
7	22
Property Portfolio	Report of Directors' Remuneration
8	24
Performance Summary	Corporate Governance Statement
9	32
Financial Review	Independent Auditor's Report

FINANCIAL

STATEMENTS

40

Consolidated Statement of Comprehensive Income

42

Consolidated Statement of Financial Position

44

Consolidated Statement of Changes In Equity

47

Consolidated Statement of Cash Flows

49

Notes to the Financial Statements

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CORPORATE INFORMATION

NON-EXECUTIVE CHAIRMAN

Nicholas John Paris

NON-EXECUTIVE DIRECTORS

Thomas Holland

Monica Lai Voon Huey

Hock Chye Tan

Helen Wong Siu Ming

COMPANY SECRETARY AND REGISTERED OFFICE

ICECAP (Secretaries) Limited

Osprey House, Old Street, St. Helier

Jersey JE2 3RG

Channel Islands

WEBSITE

www.aseanaproperties.com

LISTING DETAILS

Main Market of the London Stock Exchange under the ticker symbol ASPL

AUDITOR

PKF Littlejohn LLP

15 Westferry Circus

London E14 4HD

United Kingdom

FINANCIAL ADVISER

GRANT THORNTON UK LLP

30 Finsbury Square

London EC2A 1AG

United Kingdom

REGISTRAR

Computershare Investor Services (Jersey) Limited

Queensway House

Hilgrove Street, St. Helier

Jersey JE1 1ES

Channel Islands

Tel: [phone]

Fax: [phone]

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CORPORATE STRATEGY

KEY FACTS

Exchange	:	London Stock
		Exchange Main Market
Symbol	:	ASPL
Lookup	:	Reuters - ASPL.L
Bloomberg - ASPL:LN
Domicile	:	Jersey
Shares Issued	:	212,025,002
Shares Held	:	13,334,000
in Treasury
Voting Share	:	198,691,002
Capital
Share	:	US Dollars
Denomination
Admission	:	5 April 2007
Date

Aseana Properties Limited ("Aseana Properties" or the "Company") is a London-listed company incorporated in Jersey. The Company and its subsidiary undertakings (together with the "Group") were focused on property development opportunities in Malaysia and Vietnam.

The routine operations of the Company are supervised by the Chairman and the Board, with a small team of finance professionals directly engaged to run our finances and operations. A Divestment Director was also designated from the existing Board with a specific focus to sell the Company's remaining assets, in line with the Divestment Policy.

When the Company was launched in 2007, the Board considered it desirable that Shareholders should have an opportunity to review the future of the Company at appropriate intervals. This will enable the realisation of the Company's assets in a controlled, orderly and timely manner, with the objective of achieving a balance between periodically returning cash to Shareholders and maximising the realisation value of the Company's investments.

The Company will hold another discontinuation vote at a general meeting in May 2023, meanwhile the Company continues to seek for disposal of its assets in a measured manner.

To the extent that the Company has not disposed of all of its assets by May 2023, Shareholders will be provided with an opportunity to review the future of the Company, which would include the option for shareholders to vote for the continuation of the Company.

The Directors have considered the appropriateness of preparing the accounts on a going concern basis in light of the decision to realise the Group's investments in an orderly manner. There is no certainty over the timeframe over which the investments will be realised. The Directors note that other viable alternative strategies to a wind-down remain available and they will continue to evaluate whether to propose continuation of the current divestment strategy or change to an alternative strategy.

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CHAIRMAN'S STATEMENT

Dear Shareholders,

INTRODUCTION

Asia began its recovery from the COVID-19 pandemic from the middle of 2022 onwards, as both Malaysia and Vietnam (where we used to own properties) steadily lifted their restrictions on population movement and international travel. As a result, economic activity, and most importantly, the movement of first the domestic populations and then foreign tourists began to accelerate. These are very important to the Company as our assets comprised a hospital and development land in Vietnam (which have now been sold), a 5-star hotel and luxury residential apartments in Kuala Lumpur, a shopping mall and a hotel in Sandakan and undeveloped beachfront land in Sabah.

COMMENTARY ON THE YEAR

Our focus has been to minimise operating costs and net cash outflows at each of our properties whilst our Asset Divestment team seeks to dispose of them at reasonable prices. The sale of our Vietnam assets significantly reduced the project debts, reducing our debt servicing costs.

I am pleased that shareholders are co-operating in the common aim of selling the Group's assets and returning as much capital as possible to all shareholders.

ECONOMIC OVERVIEW

In 2022, the Malaysian economy recorded growth of 8.7% (2021: 3.1%) according to the Malaysian government as the economy rebounded from the easing of COVID-19 restrictions but this forecast is expected to slow to 4.0% in 2023 according to the World Bank.

PERFORMANCE REVIEW

During 2022, the Company recorded a net loss after finance costs and before taxation of US$17.6 million compared to a net loss before taxation of US$5.8 million (restated) for the previous financial year. The Net Loss attributable to equity holders was US$15.9 million for FY 2022, (2021 (restated): US$5.8 million), and the loss per share was US cents 7.99 (2021 (restated): US cents 2.90).

Our NAV per Share as at 31 December 2022 fell to US cents 37 (2021 (restated): US cents 46).

Our net cash inflow for the year was US$0.1 million (2021 (restated): US$1.7 million) which reflected

foreign exchange gain effect of US$ 2.9 million (2021 (restated): US$1.1 million loss effect), net cash

outflows from operating activities of US$4.5 million (2021 (restated): US$9.8 million) offset by a cash

inflow from investing and financing activities of US$1.7 million (2021 (restated): US$12.7 million).

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