Hamilton, BERMUDA (23 July, 1998) -- The Listing Committee of The Bermuda Stock Exchange (The BSX) today announced the approval of the listing of up to 700,000 C Shares of
The China Heartland Fund Limited (the "Company").
The China Heartland Fund Limited was incorporated in Bermuda as a closed-ended company on 3 July, 1997. The principal objective of the Company is long term capital appreciation through investment in companies established or operating in the PRC (People's Republic Of China). Particular emphasis will be given to obtaining returns in respect of Chinese companies operating principally outside Shanghai, Shenzen and Hong Kong in the hinterland of China.
As at 21 May, 1998, US$9,73 million of the company's assets has been deposited with the CSC (China Securities Corporation) in relation to the Investment Services and Returns Agreement. The Company also invests in H, B and N shares and other listed equity and equity-related securities of Chinese-related enterprises established or listed outside the PRC, which derive the majority of their revenues from activities in the PRC. Investments by the Company in the PRC are made through its Mauritian subsidiary and may be made through other wholly-owned subsidiaries as and when appropriate.
A private placing of the C Shares with institutional investors has raised US$3,176,000. The net proceeds of the placing will be invested in accordance with the investment objective and policies of the Company and managed in a portfolio segregated from the remaining assets attributable to the existing shares until either 85% of the net proceeds have been invested or six months has passed, at which time they will be converted into new ordinary shares of the Company and the portfolios will be merged.
Edinburgh-based Martin Currie Investment Management Ltd. ("Martin Currie") acts as the investment manger of the Company. Founded in 1881, Martin Currie is one of Scotland's leading independent investment management groups with some US$10.3 billion under management. Its legal advisers on this occasion were Linklaters & Paines and Mello, Hollis, Jones & Martin.
"China is a market of vast potential," commented Martin Currie director Chris Ruffle. "We are pleased that so many investors share our view of the market in general and this fund in particular."
"We are pleased that Martin Currie has chosen at this time to raise more capital for the fund and to list the Class C Shares of the Fund on The BSX," said Mr. James S. McKirdy, Listing Manager of The BSX.
The listing of the C Shares of the China Heartland Fund Limited is sponsored by BCB Securities Limited, a wholly owned subsidiary of Bermuda Commercial Bank Ltd., Hamilton, Bermuda. The securities are being listed under Section IV of The BSX Listing Regulations relating to Collective Investment Schemes.
For further information on The China Heartland Fund, please contact Bente Ahern or D. Paul Thorne in Bermuda at telephone: 441-292-3580 or fascimilie: 441-292-5898. For additional information on the BSX please contact Stephen Davidson, Tel: 441-292-7212 or e-mail sdavidson@bsx.com, or visit the BSX Website at http//www.bsx.com.