VietNamNet Bridge - The news that Hanel sold Daewoo Hotel soon after it acquired the hotel four years ago has disappointed investors, but the hotel remains attractive thanks to the large land fund it holds.

Four years ago, Hanel once stirred up the public when purchasing 70 percent of Daewoo Hotel’s stake from the South Korean partner in a joint venture to become the only owner of the hotel. 

The value of the affair was a secret, but some sources said it was worth $70 million.

Since then, people had taken granted that the well-known 5-star Daewoo Hotel is being run by Hanel, the enterprise established as an electronics company, and jumped into the hotel sector, until recently, when Hanel’s finance report was made public to prepare for its IPO, slated for April 14.

In fact, right after taking over the 70 percent of Daewoo’s stake, Hanel transferred the shares to the Hop Thanh Investment & Minerals JSC and Hop Thanh 1 Investment JSC.

At the IPO, Hanel plans to put 19.1 million shares, or 9.94 percent of the company’s charter capital, into auction at the starting price of VND10,000 per share.

The news that Hanel sold Daewoo Hotel soon after it acquired the hotel four years ago has disappointed investors, but the hotel remains attractive thanks to the large land fund it holds.

Analysts commented that though Hanel only holds 30 percent of Daewoo Hotel, it remains a company worth investing This is because the company now holds a large land fund in the capital city, mostly in the districts of Long Bien and Gia Lam, the areas which have been witnessing very rapid development of infrastructure items and transport conditions in recent years.

A software park project is being developed in Phuc Loi Ward of Long Bien district which covers an area of 43 hectares and has investment capital of $620 million.

Also in Long Bien district, Hanel has the Hanel-Alphanam urban area development project, covering an area of 53.5 hectares. A joint venture has been set up with charter capital of VND500 billion, of which Hanel contributes 20 percent of capital, to develop the VND2.438 trillion project.

Another project Hanel is developing is one on a customs clearance point in Long Bien district on an area of 19 hectares, capitalized at VND781 billion. The site clearance for the project is completed; Hanel has the investment certificate.

Hanel is also the investor of the Sai Dong B Industrial Zone, covering an area of 24.2 hectares in the district, where land has been leased to 20 enterprises.

In Gia Lam district, Hanel is one of the investors of the Hanel-Tan Tao Science, Technology & Finance Urban Area with estimated investment capital of VND1.5 trillion.

Hanel also has its projects in Nam Tu Liem, where it plans to build a 45-storey building with investment capital of VND1.666 trillion, and in Hoang Mai district, where it plans to build an apartment-office complex.


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