VCSC Firm Introduction

Firm Overview

June 2010

Sales Research Investment BankingMr Nam Nguyen Mr Can Trinh Mr Hoan [email protected] [email protected] [email protected] +84 8 3914 3588 T +84 8 3914 3588 T +84 8 3914 3588

Table of content

1. Introduction 3

VCSC at a Glance 4

Core Businesses 7Core Businesses 7

Board of Directors 8

Key Personnel 9

2. Brokerage 11

A F ll R f S i 12A Full Range of Services 12

Advanced Trading Technology 13

Selected Institutional Clients 14

3. Equity Research 15

Research Team 16

Client Driven Research 17

A Modified Top‐Down Approach 18

1: Macro Analysis 19

2: Industry and Strategy Watch 20

3: Sector Strategy Guidance 21

4: Company Analysis and Metrics Assignment 22

4. Investment Banking Credentials 23g

Market Leader 24

Full Range of Services 26

Past Deals 27

1. Introduction

VCSC at a glance

VCSC is a top tier brokerage firm offering a full range of services

Non-Conflicting Trade ExecutionNon-Conflicting Trade Execution

Accurate ResearchAccurate Research

Unrivalled Deal FlowUnrivalled Deal Flow

First ClassFirst ClassFirst ClassCorporate

Access

First ClassCorporate

AccessStrong Financial

StabilityStrong Financial

StabilityProactive Staff

and ManagementProactive Staff

and Management

VCSC at a glance

What it means to you

Non-Conflicting Non-Conflicting Accurate ResearchAccurate Research Unrivalled Deal FlowUnrivalled Deal FlowgTrade Execution• True chinese walls between

client and prop trading desks• We beat VWAP more often

gTrade Execution• True chinese walls between

client and prop trading desks• We beat VWAP more often

• Rated on Bloomberg, ourcalls are overwelmingly first in ranking

• Rated on Bloomberg, ourcalls are overwelmingly first in ranking

• Over 60 IB deals been worked on at any given time

• #1 securities house in terms

• Over 60 IB deals been worked on at any given time

• #1 securities house in terms than our competitorsthan our competitors of revenues from IBof revenues from IB

First Class Corporate AccessFirst Class Corporate Access

Strong Financial StabilityStrong Financial Stability

Proactive Staff and ManagementProactive Staff and ManagementCorporate Access

• Our work brings us close to almost any major companyin Vietnam

Corporate Access• Our work brings us close to

almost any major companyin Vietnam

Stability• Profitable every year since

the first year of establishment

Stability• Profitable every year since

the first year of establishment

Management• Means we listen to you and

adapt quickly to your needs

Management• Means we listen to you and

adapt quickly to your needs

VCSC at a glance

Fully licensed prime broker and investment bank

#1 in investment banking

#3 in research i

Revenue Structure 2009

#3 in research

#5 in institutional brokerage

20 illi USD h it l

Proprietary Trading44%

Advisory14%20 million USD share capital

3 offices across Vietnam

14%

Other Revenues

Brokerage13%

Over 100 employeesRevenues (Interest)

29%

Source: VCSC Audited Financial Statement 2009

Core business

Equities is our core business

Brokerage

Listed, OTC, Private Equity

Investment Banking

Privatisation and Equitization (IPO)

Institutions, Corporates, Individuals

Corporate Access & Events

Strategic Placement

Underwriting

Research

Macro

Listing

M&A

AdvisorySectors

Strategy

Companies

Advisory

Valuation

RestructuringCompanies

Portfolio analysisCapital raising and structuring

Investors relations

Board of directors

Experienced Team

Ms. Nguyen Thanh PhuongCo‐founder & Chairwoman – VietCapital SecuritiesCo‐founder & Chairwoman – VietCapital Asset Management

Past positionsInvestment Co‐director – Vietnam Holding, a Swiss‐

Mr. To HaiCo‐founder, Member of BoD & CEO

Past positionsDeputy General Director & Ho Chi Minh Branch Director – Bao Viet Securities

based investment fund listed on the London AIMDeputy CFO – Holcim (Vietnam) Ltd., a Swiss multinational conglomerate

Business Development Manager – Dong A Securities

Mr. Huynh Richard Le MinhMember of BoD & Chief Operating Officer

Mr. Pham Gia TuanHead of Inspection Committee Member of BoD & Chief Operating Officer

Past positionsBoard Member and Chief Operating Officer –Viet Capital SecuritiesDirector of Audit – PricewaterhouseCoopers (Vietnam and USA)

Head of Inspection Committee

Past positionsManaging Partner – Viet Capital Asset ManagementChief Financial Officer – VinaCapital Asset ManagementTax Manager – PWC (Vietnam and Australia)Business Assurance Manager – Dutch Lady Vietnam

Dr. Tran Bao ToanMember of BoDCo‐founder & Vice‐Chairman– VietCapital Asset Management

Mr. Tran Quyet ThangMember of BoD

Past positionsPast positions

Investment Co‐director – Vietnam Holding, a Swiss‐based investment fund listed on the London AIMSenior Portfolio Manager and Head of Research ‐Aargauische Kantonal Bank (AKB)Investment Banker – Credit Suisse, Switzerland

Chairman – Real Estate Finance Corporation (Refico)Founder – Thang & Associates Law OfficeCo‐founder – Saigon Securities Corporation (SSI) Co‐founder – Investment Consultancy and Technology Transfer Company Chairman – Investment Committee of Aureos Fund (UK)

Key personnel

Experienced Team

Mr. Trinh Thanh CanDirector ‐ Research

Past positionsInvestment Director – VietCapital Asset ManagementCorporate and Institutional Banking Manager – HSBCI t t A l t Vi C it l

Mr. Nguyen Hoai NamDirector – Institutional Sales

Past positionsDirector of Institutional Brokerage – Bao Viet Securities Deputy Head of Corporate Finance – Bao Viet SecuritiesFi i l Ad i A i i (A i E Investment Analyst – VinaCapital

Financial Analyst – Tower Asset Management – ML Stern, Beverly Hills, California, USA

Financial Advisor – Ameriprise (American Express Financial Advisor Company), Irvine, California, USAProject Manager – Xelleration LLC, California, USASales Manager – AT&T Wireless Corporation, USA

Mr. Michel Tosto, M.Sc.Associate Director Institutional Sales

Mr. Dinh Quang HoanDirector of Corporate FinanceAssociate Director – Institutional Sales

Past positionsSenior Manager, Institutional Sales – VinaSecuritiesBusiness Development Manager, LuatViet Law FirmLaurentian Bank, Service Specialist (Canada)Quebec Loisirs, IT Project Manager (Canada)Canada Direct Marketing Account Coordinator (Canada)

Director of Corporate Finance

Past positionsHead of Corporate Finance – Bao Viet SecuritiesAudit Manager – KPMG VietnamAudit Manager – Arthur Anderson

Ms. Chau Thien Truc QuynhDirector ‐ Securities Brokerage – HCM Branch

Past positions

Canada Direct Marketing, Account Coordinator (Canada)

Mr. Nguyen Duc PhuongDirector of Corporate Finance – HN Branch

Past positionsPast positionsDirector of Brokerage – Vietcombank SecuritiesDeputy Manager of Corporate Finance – VietcombankSecurities

Past positionsSenior Investment Officer – Viet Capital Asset ManagementAssistant of Investment Manager – PPF Asset Management

2. Brokerage

Full‐service brokerage

Committed – Knowledgeable

Two (2) hands‐on seniorsales executives dedicated

i i i l li l

Three (3) sales traders dedicated to institutional li ’ d lto institutional clients only

One (1) Vietnamese educated in the USA

clients’ orders only

Proactive, responsive and fluent in Englisheducated in the USA

One (1) foreigner with over 5 years

and fluent in English

Known for it’s ability to execute source andover 5 years

experience in Vietnam

Deep understanding of

execute, source and place blocks

p gVietnam


Full range of brokerage services

Advisory

Corporate access (road

Obtain securities trading code for foreign investors

Corporate access (roadshows, company visits, etc)

Listed market brokerage

Custody and depository services

OTC market brokerage

Block building for large orders

Auction agency

Shareholders’ book Block building for large orders

Dedicated tradersmanagement


Advanced Trading Technology

Tier 1 Order Management System (OMS) by Tong Yang (K )

Full integration between trading accounts and third

b k(Korea)

Full DMA (Direct Market Access) and STP (Straight

party bank accounts

Intelligent alerts (via terminal email or SMS)Access) and STP (Straight‐

Through Processing)

Order execution via

terminal, email or SMS)

Order execution via Bloomberg Electronic Order Routing (EOR), our OMS l tf hplatform or phone

Institutional clients

Selected Institutional Clients

Tong Yang GroupKorea Investment Trust Management Co., Ltd ‐ KITMC

PXP Vietnam Asset Management

Cube Capital GroupStandard Bank Asia & LondonBank Invest

Masan GroupFranklin Templeton Institutional Mirae Asset

3. Research

Research team

Trustworthy TeamWide Coverage

Long experience in finance

5 to 7 years for senior managers

3 t 5 f i l t

8 analysts, covering:

Macro‐economy

3 to 5 years for senior analysts

Strong academic background with degrees from well known Universities

All industries

Oil & Gas, Industrials, Consumer Goods Consumer Services, Basic Materials, Health Care, Utilities, Financials, Technology

USA (5 analysts)

Europe (2)

Australia (1)

Health Care, Utilities, Financials, Technology

55 companies (40 with models)

ACL, ANV, BBC, BCI, BMP, BVH, CTD, DCL, DHG, DIG, DMC, DPM, DPR, DVD, Australia (1)

Some also have overseas working experience

, , , , , , ,FPT, GDT, GMD, HAG, HBC, HLA, HPG, HSG, HT1, HT2, IMP, ITC, KDC, LCG, LHG, MSN, NTP, PAC, PET, PHR,PNJ, PPC, PVD, PVI, SJS, TAC, TBC, TDH, TMP, TRC, TTF TTP VHC VIP VNM VNS VPHTTF, TTP, VHC, VIP, VNM, VNS, VPH, VSH, VST

Research philosophy

Client Driven Research

Research is tailored for institutional investors

We understand there’s no substitute for integrityWe understand there s no substitute for integrity

Frequent market insights: Macro reportsMacro reports

Sector reports

Semi-annual strategy report

Company initiations

Company updates and visit notes

D il k t d tDaily market updates

Research methodology

Methodology

Bottom‐Up stock picking

In an emerging country like

Top‐Down overlay

Vietnam’s fundamental In an emerging country likeVietnam, it happens that enticing sectors are in effect uninvestible

Vietnam s fundamentalgrowth drivers

Current government uninvestible.

Fertilisers

Fisheries

priorities, and fiscal and monetary policies

Fisheries

Sometimes, average sectors harbour winners.

Industry fundamentals and drivers

I t t t t iReal estate

Investment strategies

Small caps, Value vs. Growth, …

4. Investment Banking

Investment banking

Market Leader

Trusted advisor, book-runner and underwriter thanks to:

Team of highly trained and experienced professionalsTeam of highly trained and experienced professionals

Largest number of landmark transactions in the market

Long-term and trust-based relationships with:o g te a d t ust based e at o s ps t

Government ministries and departments

State-owned groups and leading corporations

International and Vietnamese institutions

Company’s strong financial position

Investment banking

Industry IB Revenues2008 vs 2009

Sources: KLS, HSC , BVSC, SSI, VCSC

35 2

46.4

404550

Unit : VND Billion

27.1

35.2

28.2

253035

2008

8.7

18.6

9.0101520

20082009

1.6 1.33.2

05

10

KLS HSC BVSC SSI VCSCKLS HSC BVSC SSI VCSC

6/8/2010 2150% of SSI’s revenues in 2009 come from bond issuance for HAG and HPG

Investment banking

Full range of investment banking services

M&A

Strategic Placements

Underwriting

RestructuringStrategic Placements

Advisory

l i

Restructuring

Capital raising and structuring

C d diliValuation

Privatisations (IPO)

Corporate due diligence

Investors relations

Listing

Investment banking credentials

Vietnam Mobile Telecom ServicesMobile telecom service providerCharter Capital: VND 9,000 billion

Masan GroupOwnership and Investment in Masan Food and TechcombankCharter capital: VND 4,853 billion

Restructuring and Listing AdvisoryEquitization and Strategic Investors Selection AdvisoryCo-advisor for equitization; Co-advisor for selection of strategic investors

ALC GroupLogistics, international transportation and distribution for Iteka and CastaCharter capital: VND 100 billion

Petrovietnam Fertilizer and Chemical Joint Stock CompanyProduce and trade urea fertilizer, liquid ammoniacCharter Capital: VND 3,800 billion

Equitization and Equity Placement AdvisorySole advisor for equitization; Sole financial advisor for issuance of 2 million shares

PVD I t

M&A AdvisorySole advisor for Merger transaction

PVD InvestLeasing offshore rigs, land rigs, and equipments Charter Capital: VND 1,000 billion

COTEC GroupConstruction and Construction materials

E it Pl t d M&A Ad iM&A Advisory Sole advisor for Merger transaction

Equity Placement and M&A AdvisorySole book runner; sole advisor for M&A transaction


Phat Dat CorporationReal estates developement and tradingCharter Capital: VND 1,302 billion

Saigon Thuong Tin Real EstatesReal estates developer and brokerCharter Capital: VND 500 billion

Equity Placement AdvisorySole advisor for business-type conversion. Sole book runner, manager and underwriter for the private placement

Equity Placement AdvisorySole book runner, manager and underwriter for the private placement

Ha Tien 1 Cement CompanyCement manufactuingCharter Capital: VND 870 billion

Ha Tien 2 Cement CompanyCement manufactuingCharter Capital: VND 880 billion

Issuance and M&A AdvisorySole book runner, manager and underwriter for the private placement. Sole advisor for strategic investors selection and for the merger with Ha Tien 2 Cement Company

Issuance and Listing AdvisorySole book runner, manager and underwriter for the private placement. Sole advisor for listing

Masan Trading CorporationManufacturing and trading culinary productsCharter Capital: VND 139 billion

Equity Placement AdvisoryS l b k d d it f th i t

Kien Long BankBanking servicesChartered Capital:

Issuance Advisory Sole book runner, manager and underwriter for the private placement. Sole advisor for listing

Issuance Advisory Sole advisor for the issuance of 100 million shares


Van Phat Hung CompanyReal estate investmentCharter Capital: VND 200.8 billion

Hoa Phat Group CompanyMulti-industry manufacturingCharter Capital: VND 4,514.5 billion

Project Sale & Listing AdvisorySole advisor for project sale and listing 20.08 million shares

Issuance AdvisorySole advisor for the issuance of 64.5 million shares

Long Hau CompanyReal estates developerment and infrastructure investmentCharter Capital: VND 200 billion

Interfood Shareholding CompanyFood and beverage manufacturingCharter Capital: VND 291 billion

Listing AdvisorySole advisor for listing

Pharmaceutical & Medicinal Public Company

Equity Placement AdvisorySole advisor for equity placement of the company’s subsidiary

Pharmaceutical & Medicinal Public CompanyManufacturing and trading pharmaceutical productsCharter Capital: VND 200 billion

Listing Advisory

Steel Material CompanyManufacturing and trading steel productsCharter Capital: VND 250 billion

Listing AdvisorySole advisor for issue of 1.9 million shares and listingIssuance Advisory

Sole advisor for issue of 10 million shares


Nam Viet CorporationProcessing and exporting aquaculture productsCharter Capital: VND 660 billion

Mirae Joint Stock CompanyProducing, processing and trading materials for garments and textile industryCharter Capital: VND 273 billion

M&A Advisory Sole advisor for M&A of KMR and KMF

Charter Capital: VND 660 billion

Corporate Finance AdvisorySole advisor for corporate restructuring and corporate finance

Holcim Group Support Ltd.Cement, aggregates, ready-mix concrete and asphalt

Indochina MineralsClinker exploitation and minerals tradingCharter Capital: VND 22 billion

ADC Architecture, Decoration and Construction

M&A Advisory Sole advisor for Merger transaction.

Ninh Van Bay Travel Real Estate JSCHoliday resorts and travel residential

Equity Placement AdvisorySole advisor for the company’s equity placement

Equity Placement and Financial AdvisorySole advisor for the company’s capital raising

Construction Architecture, decoration, construction and real estate tradingCharter capital: VND 100 billion

Equity Placement and Financial AdvisorySole advisor for corporate restructuring and capital raising

Holiday resorts and travel residential properties Charter Capital: VND 555 billion

p y p g p g p g


Viet A BankGold trading and gold exchange, retail banking, smart-card and other banking activities

Ngo Han JSCManufacturer of magnet wire in Vietnam

Private Placement AdvisorySub contractor for advisor of business structuring, evaluation report and private placement

M&A Advisory Sole advisor for Merger transaction, sole book runner and lead manager

Viet Nam Sea Transport and Chartering JSCShipping and sea transportation services

GemadeptShipping IndustryChartered Capital:

Listing AdvisorySole advisor for listing 40 million shares

Private Placement Advisory, Issuance Advisory

Vinamilk CorporationProduce and distribute dairy products

M&A Ad i

Petrovietnam Gas CorporationGas distributionCharter Capital: VND 6,000 billion

Equitization and IPO AdvisoryM&A Advisory Sole advisor for Merger transaction.

Equitization and IPO AdvisorySole advisor for equitization, company valuation, IPO auction agent.

Sales Research Investment BankingMr Nam Nguyen Mr Can Trinh Mr Hoan [email protected] [email protected] [email protected] +84 8 3914 3588 T +84 8 3914 3588 T +84 8 3914 3588

Economy & Finance

VCSC Firm Introduction