HO CHI MINH CITY INFRASTRUCTURE INVESTMENT JSC. INVESTOR PRESENTATION MARCH 2018

Transcription

1 HO CHI MINH CITY INFRASTRUCTURE INVESTMENT JSC. INVESTOR PRESENTATION MARCH

2 TABLE OF CONTENTS 2 TOC PART I: COMPANY OVERVIEW Page 3 AT A GLANCE 4 DIRECTORS & MANAGERS 5 CORE BUSINESSESS 6 FINANCIAL PERFORMANCE 7 PART II: THE PLAN Page 8 INVESTMENT STRATEGY 9 FINANCIAL GUIDANCE 10 PART III: CORE BUSINESSES Page 11 BRIDGES & ROADS 12 LANDS & REALTY 14 WATER INFRASTRUCTURE 17 ENGINEERING & CONSTRUCTION 18

3 PART I COMPANY OVERVIEW Hanoi Highway, HCMC

4 COMPANY OVERVIEW AT A GLANCE Part I Market Recognition Shareholder Structure February 2017 Establishment An SPV created by local government specifically to attract private investment in infrastructure. VND 1,091B Total Asset Achievement The largest listed private infrastructure development company in Vietnam VND 20,766B Total Asset Forbes: 50 Best Listed VN Companies ( ) Member of the HOSE VN30 (since 2012) % 12.0% 1 9.8% Based on 280M Total Issued Shares 2 9.0% 8.6% 6.0% VND 700B Total Debt VND 13,127B Total Debt 6.9 P/E* VND 5,207 EPS (2017) 41.6% VND 372B Total Equity VND 7,639B Total Equity VND 8,800B Market Capital* 1 PYN Elite 2 Vietnam Oman Investment (VOI) 30M Issued Shares 280M Issued Shares 246M Outstanding Shares 3 HCMC Finance & Investment (HFIC) 4 Amersham Industries 5 Other Institutional shareholders 100% State Ownership 9% State 60% Foreign 31% Local 70% Foreign Ownership Limit 6 Retail shareholders 7 Treasury shares (33.6 M shares) Source: Consolidated financial statement as of 31 Dec 2017 *Assuming average price of Feb 2017 = 35,700 VND/share

5 COMPANY OVERVIEW DIRECTORS & MANAGERS Part I 5 BOARD OF DIRECTORS term CHAIRMAN Hoang Le Binh Le Tram Nguyen VICE CHAIRMAN Thanh Nguyen Dominic Scriven Son Nguyen John Francia Sang In Kang Thanh Dang Experience Over 40 years (15y at CII) Experience Over 20 years (15y at CII) Experience Over 20 years (15y at CII) Experience Over 20 years Experience Over 30 years Experience Over 20 years Experience Over 20 years Experience Over 15 years Experience Over 20 years Chairman of CII General Director of CII Deputy General Director of CII Investment Director of HFIC Founder of Dragon Capital General Director of VOI Managing Director of Ayala Corp. Rep. of Rhinos Asset Management Independent Director KEY MANAGERS CII Holdings Level Chau Duong Investment Director Experience: over 20 years (15 years at CII) Tra Nguyen Chief Financial Officer Experience: Over 15 years (11 years at CII) Huong Nguyen Capital Management Director Experience: Over 12 years (4 years at CII) Subsidiary Level LGC CII BRIDGES & ROADS INVESTMENT JSC. SII SAIGON WATER JSC. CEE CII ENGINEERING & CONSTRUCTION JSC. ESTABLISHED SECTORS Thanh Nguyen CEO of LGC Hoanh Truong CEO of SII Thuc Pham CEO of CEE Construction Bridge & road Water Infrastructure Experience: Over 25 years (15y at LGC) Experience: Over 15 years (6y at SII) Experience: Over 20 years (11y at CEE) Denn Espanola Deputy CEO of LGC Vice President of SCTE (of MPTC) Experience: Over 20 years Tendencia W. John Deputy CEO of SII Country Manager of Manila Water Experience: Over 10 years Hien Phung Deputy CEO of CEE Experience: Over 20 years (8y at CEE)

6 COMPANY OVERVIEW CORE BUSINESSES Part I 6 CII HOLDINGS OTHER KEY SEGMENTS The Cost Saving The Foundation The Short-term Reinforcement The Medium-term Growth Catalyst The Long-term Asset SERVICE BRIDGE & ROAD CONSTRUCTION REAL ESTATE WATER Private company HOSE Ticker: LGC HOSE Ticker: CEE To be established HOSE Ticker: SII Legal Cap: VND10 B Market Cap: N/A Legal Cap: VND1,929 B Market Cap: VND3,995 B Legal Cap: VND415 B Market Cap: VND909 B Legal Cap: N/A Market Cap: N/A Legal Cap: VND645 B Market Cap: VND1,347 B CII Service was established in 2000 as an in-house service provider LGC was initially a mechanical & lighting equipment company (since 2000). Then CII acquired and restructured LGC into CII B&R in 2014 CEE was originally known as 565 construction company (since 2000). Then CII acquired, restructured it into CII E&C in 2013 CII plans to acquire an already listed property company and restructure it into CII Land (expectedly by 2020) SII was originally known as Viet Thanh construction company (since 2004). Then CII acquired and restructured it into CII Water in The Business The Business The Business The Business The Business Tollway (BOT) Build-Operate-Transfer Utility (BOO) Build-Own-Operate Provides in-house services regarding toll collection, maintenance & tree-care. Invests in bridge & road infrastructure projects for toll collection right (guaranteed returns on equity investment). Undertakes both infrastructure and real estate constructions Develops and trades both commercial & residential real estate. Develops, owns, and operates water infrastructure projects, including purification & distribution Major Shareholders Major Shareholders Major Shareholders Major Shareholders Major Shareholders 54% 45% 100% 51% 100% 51% 36% 12%

7 COMPANY OVERVIEW FINANCIAL PERFORMANCE Part I 7 Deleveraging CAPITAL STRUCTURE Growing PROFITS & EARNINGS Outstanding FINANCIAL DEBTS (Dec 2017) Equity (VND B) Debts Total assets 15,066 15,805 20,766 62% NPATMI (VND B) EPS (VND/share) 3,353 2,959 3,245 5,207 Total: VND 10,762B, Average cost: 8.6% p.a By lender By Currency By Maturity 12% 13% 13% 21% 8,017 9,035 69% 62% 1,521 45% 12% 70% 80% 38% 38% 31% 20% 30% * % Convertible bonds Bank loan Corporate Bonds 87% USD VND 22% 1 year 2 year 3-5 year >5 years (*) Pro-forma: Assuming consolidation of LGC and CEE Improving DEBT REPAYMENT CAPABILITY Improving CASH DIVIDEND Major Outstanding Equity-linked Debt 43.6 EBITDA/Interest Debt/EBITDA % Cash dividend (VND/share) Dividend yield 7% 7% 7.6% 7.4% Convertible Bonds (USD) issued to Rhinos Asset Management (Korean) Total Coupon Duration Strike price Convertible USD 60M 1%/year (5Y) VND38,500/share 35.4M shares ,150 1,850 1,600 1,400 1, ) The bond was issued in 2 tranches: First tranche of USD 40M (1Q2017) and second tranche of USD 20M (3Q2017). 2) CII currently has issued a total of 279.8M shares and had bought back 33.5M as treasury shares. These treasury shares will be used as reserve for conversion of above CB (in a sense that they will be cancelled as the bonds are converted into new shares). The average cost of treasury shares is 25,581 VND/share, meaning if the bond is converted, CII will effectively gain approx. 50%.

8 PART II THE PLAN Thu Thiem New Urban Township 2015, HCMC

9 THE PLAN INVESTMENT STRATEGY Part II 9 CII GROUP Bridges & Roads Infrastructure Land & Realty TOTAL CAPEX VND 20,100B TOTAL CAPEX VND 15,200B TOTAL CAPEX VND 4,900B Focus in general Investment Plan Investment Plan 1) Financing ongoing projects with total CAPEX amounting up to VND20,100B. 2) Focusing on increasing CII s Net Asset Value by investing & holding more assets and for longer period of time. This means CII may have to adopt new investment approaches. 15% 19% 10% 56% Trung Luong - My Thuan Hanoi Highway Expansion Binh Trieu (phase 2) Rach Mieu (phase 2) 19% 19% 9% 53% Thu Thiem BT (Phase 1 & 2) Thu Thiem River Park 152 Dien Bien Phu Others Emphasis on each segment Goals & Strategy Goals & Strategy Bridges & Roads Infrastructure: focus on constructing ongoing projects such as the Trung Luong My Thuan expressway, Hanoi Highway Expansion, Binh Trieu (phase 2), Rach Mieu (phase 2). Land & Realty: focus on (i) completing infrastructure construction in Thu Thiem area, (ii) developing ongoing property projects in Thu Thiem and Binh Thanh areas, (iii) establishing CII Land. Water Segment: focus on managing existing portfolio, especially major projects such as the Tan Hiep 2 and the Cu Chi Projects. Construction: focus on (i) constructing own projects and on (ii) widening foothold in the property construction market. Securing long-term growth by developing and increasing stakes in mega projects (such as the Trung Luong My Thuan Expressway) Increasing operation effectiveness by focusing on HCMC and Mekong Delta areas, where CII has already established a strong portfolio of BOT projects. Minimizing investment risks and quickly generating profits & cash by continuously investing in brownfield projects with strong revenue base. Increase long term Net Asset Value by investing in BOT project with fixed concession period. Currently, most BOT projects in Vietnam are invested with a capped guaranteed return mechanism, which is suitable for risk-averse investors but offer limited upside potential. Obtaining prime land-bank at reasonable cost by continuously investing in infrastructure exchange for land BT projects such as the Thu Thiem Phase 2 project. Fueling medium-term growth by developing residential projects in prime areas such as the Lakeview and Riverpark Projects in the Thu Thiem Area. Creating long-term added value by developing real estate projects and infrastructure projects in the same area. Increase long term Net Asset Value and recurring income by investing and developing assets for leasing purposes. Establish stronger foothold by establishing CII Land along with a capable (possible foreign) partner.

10 THE PLAN FINANCIAL GUIDANCE Part II 10 INVESTMENT NEEDS FINANCIAL GUIDANCE TOTAL CAPEX & CAPITAL PLAN NET PROFITS & INTEREST COVERAGE EARNINGS & DILUTION Money Unit: VND billion Total CAPEX ( ): 20,100 Money Unit: VND billion CAGR guidance: 15% - 20% Unit: Current P/E: VND / share 6.9 times 37% By year of investment Y % 32% Y2019 By Invesment Segment 25% 75% Infrastructure By Capital Sources 84% 16% Equity Funding 5.1 1,208 NPATMI 7.6 1,499 EBITDA/Interest ,806 4,900 4,200 EPS 6,100 5,200 EPS (fully diluted) 7,300 6,200 Y2020 Land & Realty Debt Financing 2, Notes: CII plans to fund the entire capital requirement with internal cash and new debt financing. Expected cost of new debt financing will be around 9%-10% p.a. Average Profit Contribution ( ) 68% 23% 9% Land & Realty Infrastructure Others Notes: EPS was calculated based current 246M outstanding shares. EPS (fully diluted) takes into account of the possible conversion of USD 60M convertible bonds into roughly 35.2M shares. PRIORITY OF CASH USAGE (1) Investment: CII will focus on existing projects. Given the size of current CAPEX, CII plans not to make new investment in green field projects within the period. (2) Debt repayment & Dividend: CII will prioritize debt repayment to maintain Debt/Equity of no more than 2.5 times. The remaining cash may then be used for dividend payment. GUIDANCE ASSUMPTION The projection was based only on CII s existing portfolio. However, it has not included contribution from the existing water segment because major water projects have just started operation recently. Projection has not accounted for profits that may arise from new investments in brown field project such as the Co Chien Bridge. POSSIBILITY OF CHANGE Profits from the land segment may change because CII may consider developing and then keeping (instead of selling) some assets in the Thu Thiem area for leasing purposes. Benefits include: (1) Leasing business will increase CII s recurring incomes. Later on, CII may even sell these assets for better pricing. (2) This will help increase CII s NAV in longer term.

11 PART III CORE BUSINESSES Aerial view of the Thu Thiem New Urban Township, 2017

12 CORE BUSINESSES BRIDGE & ROAD: OVERVIEW Part III 12 CII B&R (LGC) December 2017 Market Capital: VND 4,588B Out. Shares: 193M Forbes Asia: Financial Statement 2017 OP In Operation One of Asia s 200 Total Asset: VND 9,845B Best Under A Debt / Equity: 69%/31% Total Billion 5,496 ROE (12M trailing) 7% CAPEX CURRENT PORTFOLIO & PROJECTS UNDER PLANNING VND B CO Total CAPEX Under Construction 18,127 VND B PL Total CAPEX Under Planning 20,000 VND B FOCUS AREAS 1 HO CHI MINH CITY & SATELLITE AREAS 1 HCMC AREAS Saigon 2 Bridge (BT project) DT 741 (Binh Duong Province) Hanoi Highway Expansion Binh Trieu (Phase 2) Urban Elevated Road No.1 OP OP OP CO CO PL CAPEX: VND 1,259B 5 lanes, 987m long CII B&R (90%), CII (10%) CAPEX: VND 700B 6 lanes, 40km long CII B&R (100%) VND 4,733B 16 lanes, 15.7km long CII B&R (51%), CII (49%) CAPEX: VND 2,247B 4 lanes, 2.9km long CII B&R (100%) Estimated CAPEX: VND 20,000B 4 lanes (2 levels), 10 km long BOT and BT combined Project Timeline: The project, parallel to the existing Saigon Bridge, helps ease traffic jam/ congestion at the North- East entrance of HCMC The project is located in Binh Duong Province (an important economic hub with a number of large industrial parks) The project expands the existing Hanoi Highway of HCMC. Parts of the project is already operational, while the rest is currently under construction (until 2020) The project expands sections leading to the Northern entrance of HCMC. The project connects the current CBD to other important areas of HCMC (incl. the Tan Son Nhat airport) 2 MEKONG DELTA AREA 3 CENTRAL AREA Invested area Trung Luong My Thuan Expressway Rach Mieu (Phase 1 & 2) Co Chien Bridge Ninh Thuan (Phase 1 & 2) CO CO OP OP OP 1 3 CAPEX: VND 9,509B 4 lanes, 55.6km long Tien Giang Province CII (90%) CAPEX: VND 2,128B 4 lanes, 2.9 km long Ben Tre Province CII B&R (51%) CAPEX: VND 790B 4 lanes, 1,6 km long Ben Tre Province CII B&R (51%) CAPEX: VND 2,256B 6 lanes, 45.4 km long Ninh Thuan Province CII B&R (100%) 2 The project is part of the HCMC - Can Tho expressway project that connects HCMC and the Mekong Delta Area. Phase 1 (In Operation): Constructing the Rach Mieu Bridge that connects HCMC and the Ben Tre Province. The project builds the Co Chien Bridge that connects Ben Tre Province and Tra Vinh Province. Phase1: Expanding the existing bypass through the Phan Rang Thap Cham city, Ninh Thuan Province. Investment Status: CII expects to start consolidating this project by Phase 2 (Under Construction): Expanding the National Highway 60 that leads to Rach Mieu bridge. Investment Status: CII recently purchased this project and expects to start consolidating by 2Q2018. Phase 2: Expanding the National Highway 1 going through the Ninh Thuan Province.

13 CORE BUSINESSES BRIDGE & ROAD: TOLL REVENUE PROJECTION Part III 13 REVENUE Assumption on Traffic Growth Assumption on Toll Increase Schedule (BOT Agreement) TOLL CONCESSION PROJECTION (*) Assumption: 5% - 6% p.a (Historical data: 10% - 20% p.a) Frequency: once every 3 to 5 years Increase: 9% to 25% ESTIMATION (**) (*) The chart represents total revenue of projects without accounting for CII s respective ownerships in these projects UNIT: VND billion 2,444 3,340 3,574 3,980 4,490 4,790 5, % 9% 9% 11% 21% (**) BOT mechanism: Project s toll concession will be adjusted (either lengthened or shortened) based on actual revenue, so that BOT investors will always (and only) have enough collection time to recoup their invested capital and guaranteed equity returns. 6 5 DT Binh Trieu (Phase 2) , No. 1 43% Average Contribution Rach Mieu (Phase 1 & 2) 2028 Ninh Thuan (Phase 1 & 2) 2031 Hanoi Highway Expansion 2030 Trung Luong My Thuan 2029 Toll plazas: Currently in operation Toll plazas: To be operated Toll Plaza Average Monthly Revenue (excl. VAT) Figures by YE2017 (*) One plaza to recoup BOT investments for both Rach Mieu Phase 1 & Phase 2 Projects Toll Plaza Expected year of operation Rach Mieu (*) Ninh Thuan (**) DT 741 VND 16,8 B VND 19,9 B VND 12,7 B (**) One plaza to recoup BOT investments for both Ninh Thuan Phase 1 & Phase 2 Projects Hanoi Highway Exp Binh Trieu (Phase 2) 2019 Trung Luong My Thuan 2020

14 CORE BUSINESSES LAND & REALTY: OVERVIEW Part III 14 ESTABLISHMENT OF CII LAND CII is in the process of establishing CII Land by acquiring an already listed real estate company. Expected timeline ( ) 152 DIEN BIEN PHU DEVELOPMENT OF CURRENT LAND BANK RESIDENTIAL PROJECTS IN THU THIEM NEW URBAN TOWNSHIP Location: Dist.2, HCMC Developable Site Area: 96,132 sqm Total GFA: 403,000 sqm / NFA: 299,068 sqm Product type: High-end Condo Status: Under construction & development Time/Distant to CBD 5 mins/4km DIAMOND RIVERSIDE Location: Dist.8, HCMC Land area: 41,497 sqm Total GFA: 194,000 sqm / NFA: 146,600 sqm Product type: Mid-end Condo Status: Under construction DIAMOND RIVERSIDE Time/Distant to CBD 20 mins/11km THU THIEM TOWNSHIP 152 DIEN BIEN PHU COMLPLEX Location: Binh Thanh Dist., HCMC Land area: 5,600 sqm / Total GFA: 65,424 sqm Total NFA (Condo) 17,813 sqm Total NLA (Office): 15,612 sqm Product type: Mid-end Condo & Office Status: Under construction Map by JLL Time/Distant to CBD 5 mins/4km

15 CORE BUSINESSES LAND & REALTY: THU THIEM AREA OVERVIEW Part III 15 MASTERPLAN: PUDONG OF HCMC Land Tender Process (by 3Q2017) Construction Progress (by 3Q2017) Map by JLL Map by JLL 20% 16% 10% 54% 15% 11% 12% 62% Total site area (ha) 657 Development area (ha) 216 Total GFA (M sqm) 9.8 Total NFA (M sqm) 5.1 BT Tender Bidded Future Bidding Others Completed Under Construction Planning Others The Ho Chi Minh city is expanding eastward with Thu Thiem New Urban Township being at the heart of the expansion. Thu Thiem is set to become the new Center of finance, commerce, services, and culture, providing what the current CBD is lacking. Total CAPEX of current projects in Thu Thiem: US$5B. Main Outer Connections 5 Map by JLL High-end condo launching price FOREIGN INVESTMENTS IN THU THIEM 2 THU THIEM RIVER PARK CAPEX US$ 400M ECO SMART CITY CAPEX: US$ 890M EMPIRE CITY CAPEX US$ 1,200M US$/sqm 3,000 2,750 2,500 Site: Zone 3 3 ha Developers Hongkong Land CII Site: Zone 2a 7,45 ha Developers Lotte Group Site: Zone 2b 14,5 ha Developers Keppel Land Gaw Capital Tien Phuoc, Tran Thai, Connection Status Location Thu Thiem Tunnel In Operation 1 Thu Thiem Bridge 1 In Operation 2 Thu Thiem Bridge 2 In Construction 3 Thu Thiem Bridge 3 In Planning 4 Thu Thiem Bridge 4 In Planning 5 Pedestrian Bridge In Planning 6 Latest Asking Price of Projects in Thu Thiem (by 3Q2017) Projects % sold Average Price Launch Sadora (Sala) >95% US$ 2,250 2Q2016 Sarica (Sala) 100% US$ 2,900 3Q2016 Sarina (Sala) >95% US$ 2,900 4Q2016 Linden (Empire City) 100% US$ 2,950 4Q2016 Tilia (Empire City) >95% US$ 3,450 3Q2017

16 CORE BUSINESSES LAND & REALTY: CII S INVESTMENT IN THU THIEM Part III 16 Infrastructure Investment High-end Residential Development Phase 1 CAPEX 120M USD Investment Scheme Build-Transfer (BT) CII constructs bridge & road infrastructure in Zone 3 & 4, which then can be exchanged for lands in Thu Thiem (on which CII can develop its residential projects.) Land Exchanged 9.6 hecta Land bank location Zone 1, 3 & 4 (River view and Lake view) Land Status Fully compensated and ready to be developed RIVER PARK LAKEVIEW THE 05 LAKEVIEWS (Self development) Timeline 1Q Low-rise 4-8 floors Total Sites: Total GFA: Total NFA: Total units: 48,996 sqm 103,000 sqm 80,075 sqm 500 units THE RIVER PARK (Joint Venture) Timeline 3Q High-rise 9-23 floors Total Site: Total GFA: Total NFA: Total Units: 35,259 sqm 190,000 sqm 124,243 sqm 1,140 units Infrastructure Development Developable GFA/NFA 403,000 / 299,068 sqm CII s Land Bank (BT Phase 1) Site Coverage: 60%-70% Plot ratio: 2.1 Site Coverage: 45%-50% Plot ratio: 5.4 The 05 Lakeview Project Lakeview 1 & 2 (Condo for sale) Pre-selling: 100% Delivery by: Q2/2018 (L1) Delivery by: Q1/2019 (L2) Average Price: USD2,500/sqm Lakeview 1 Concept CII: 100% Lakeview 3, 4, & 5 (Condo for sale & lease) Status: Designing Timeline: Central Lake BT Thu Thiem Phase 1 BT Thu Thiem Phase 2 BT THU THIEM (PHASE 2) The River Park Project Consultants Description: CII will construct infrastructure surrounding the central lake. Then, CII s investment can be exchanged for more lands in Thu Thiem (apart from the 9.6 ha of Phase 1). Current Status: Negotiating Contractual Terms Estimated CAPEX: USD 100M Infrastructure Timeline: River Park Concept HK Land: 64% CII: 36%

17 CORE BUSINESSES WATER INFRASTRUCTURE: OVERVIEW Part III 17 CII WATER (SII) Projected selling volume (MLD)* Selling Volume: Average contribution December 2017 Market Capital: VND 1,374B Out. Shares: 64.5M F. Statement 4Q2017 Total Asset: VND 3,301B Legal Capital: VND 645B Debt / Equity: 1.17x Wholesale Retail Total volume (*) Selling volumes adjusted for SII s ownership in each project % 10% 6% 17% % 22% 10% 10% 8% % Tan Hiep 2 BOO Thu Duc Saigon Dankia Cu Chi Others FOCUS AREAS WATER PRODUCTION & DISTRIBUTION P Production D Distribution SERVICES 1 HO CHI MINH CITY AREAS ASIA WATER P Tan Hiep 2 Producing and wholesaling clean water to SAWACO (SOE providing clean water for HCMC). Service area: Western region of HCMC. SII (43%) Max. capacity: 300MLD Current capacity: 150 MLD D Cu Chi Distributing clean water for Cu Chi District (about 30km away from the CBD) and surrounding areas SII (51%) Servicing: 80,286 homes P BOO Thu Duc Producing and wholesaling clean water to SAWACO (SOE providing clean water for HCMC). Service area: Districts 2,7,9, Thu Duc, and Nha Be. SII (7%) Max. capacity: 300MLD Current capacity: 300 MLD Providing NRW service to reduce water losses (both physical and apparent) during distribution. SII (51%) Service type: Nonrevenue water (NRW) Current service area: Thu Duc, Nha Be and Can Gio Districts (HCMC) 2 HIGHLAND AREAS: GIA LAI & LAM DONG PROVINCES ENVIRO 1 2 P Saigon Pleiku Producing and distributing clean water for Gia Lai Province and its surrounding areas. SII (55%) Max. capacity: 30MLD Current capacity: 7MLD P An Khe Producing and distributing clean water for An Khe town of Gia Lai Province. SII (51%) Max. capacity: 9.5MLD Current capacity: 1.5MLD Servicing: 3,900 homes P Gia Lai Producing and distributing clean water for Gia Lai Province and surrounding areas. SII (51%) Max. capacity: 21MLD Current capacity: 16MLD Servicing: 65,000 homes P Saigon Dankia Producing and distributing clean water for Da Lat city and Lac Duong town SII (90%) Max. capacity: 30MLD Current capacity: 25MLD Providing supplies and equipment for water projects of SII and other developers. SII (85%) Service type: Technology Solutions

18 CORE BUSINESSES ENGINEERING & CONSTRUCTION: OVERVIEW Part III 18 VND 415B Legal Capital (2017Q4) 3.27x D/E (2017Q4) A member of CII Group VND 2,188B Total Assets (2017Q4) VND 1,676B Total Debt (2017Q4) PROFILE Main Business Infrastructure (bridges, roads, water infra) Construction materials trading Property, civil construction Business Model The company provides construction services and earns a net profit margin of at least 6% Number of past major projects: 12 Past construction value: VND2,182B HIGHLIGHTED PAST PROJECTS DEVELOPMENT FOCUS & STRATEGY DEVELOPMENT STRATEGY 3 year horizon CURRENT FOCUS Focus on current projects Explore opportunities to construct mega projects with CAPEX of over VND 10,000B Focus on property/civil construction (such as apartment projects in Thu Thiem Area) TOTAL CONSTRUCTION VALUE VND 8,000 B Including projects: Hanoi Highway Expansion (until 2020) Trung Luong My Thuan Expressway (until 2020) National Highway 60 Expansion (until 2019) Binh Trieu 2 Bridge (until 2020) Infrastructure in Thu Thiem Area (until 2018) CII s property projects at Thu Thiem New Urban Township (until 2020) 19.1% ROE 12M Trailing (2017Q3) SAIGON 2 BRIDGE (HCMC) THU THIEM INFRASTRUCTURE HANOI HIGHWAY EXPANSION 5.21% ROA 12M Trailing (2017Q3) 0.47 Asset turnover 12M Trailing (1H2017) NINH THUAN 2 (NATIONAL HIGHWAY 1) THU THIEM - LAKEVIEW 1 TRUNG LUONG MY THUAN

19 THANK YOU HO CHI MINH CITY INFRASTRUCTURE INVESTMENT JOINT STOCK COMPANY Address: 50 Ton That Dam, Nguyen Thai Binh Ward, District 1, Ho Chi Minh City Tel: (+84 8) , (+84 8) Fax: (+84 8) Website: