Final Results

Vietnam Opportunity Fund Limited
06 October 2005


Vietnam Opportunity Fund Limited ('VOF' or 'The Company')

Final results

30 June 2005



Auditors' report

To the Directors

Vietnam Opportunity Fund Limited

We have audited the accompanying balance sheet of Vietnam Opportunity Fund
Limited as of 30 June 2005, and the related statements of income, changes in
shareholders' equity and cash flows for the year ended 30 June 2005. These
financial statements are the responsibility of the Company's management. Our
responsibility is to express an opinion on these financial statements based on
our audit.

We conducted our audit in accordance with International Standards on Auditing.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by the
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.

In our opinion, the financial statements give a true and fair view of the
financial position of the Company as of 30 June 2005, and of the results of its
operations and its cash flows for the year ended 30 June 2005, in accordance
with International Financial Reporting Standards.



Balance sheet
                     Notes         30 June 2005                30 June 2004

                             Consolidated      Company   Consolidated      Company
                                      US$          US$            US$          US$

ASSETS
Cash and cash
equivalents                    52,405,365    8,571,605      1,210,419            -
Term deposit                       12,155            -        440,417      440,417
Deposits and                    3,931,174            -      1,099,065            -
advances
Dividends and other
receivables                       320,979       70,343          1,483        1,405
Investments in
financial assets         3     30,118,442            -      5,590,332            -
Investments in
associates               4      7,441,013            -      2,644,276            -
Investments in
subsidiaries             5      2,413,587   88,207,302              -   10,502,787
Others                            300,000            -              -            -
--------------------  ------      ---------     --------      ---------     --------
                               96,942,715   96,849,250     10,985,992   10,944,609
====================  ======      =========     ========      =========     ========

LIABILITIES AND
SHAREHOLDERS'
EQUITY
Liabilities
Custodian fees                  408,727      408,727            -            -
Trustee fee                      36,775       36,775            -            -
Accounts payable and
accrued expenses                256,617      163,152      197,796      156,413
--------------------  ------    ---------     --------    ---------     --------
                                702,119      608,654      197,796      156,413
Shareholders'
equity
Paid-in capital          6   92,385,989   92,385,989    9,500,000    9,500,000
Retained earnings             3,854,607    3,854,607    1,288,196    1,288,196
--------------------  ------    ---------     --------    ---------     --------
                             96,240,596   96,240,596   10,788,196   10,788,196
 -------------------- ------    ---------     --------    ---------     --------
                             96,942,715   96,849,250   10,985,992   10,944,609
 ==================== ======    =========     ========    =========     ========

Statement of income

                    Notes   For the year ended 30 June 2005   Period from 15 July 2003 to 30 June 2004
                               Consolidated         Company            Consolidated            Company
                                        US$             US$                     US$                US$

Revenue
Gain on
investment in
financial
assets                  3         1,333,352               -                 458,690                  -
Gain on
investments in
associates              4         1,054,499               -               1,247,276                  -
Gain on sale
of investments                       38,414               -                 237,169                  -
Foreign
exchange and
translation
gains
(losses), net                      (172,920)            153                  94,227             90,328
Interest and
dividends                         1,551,632         290,383                  45,132             33,190
Other income                        164,025               -                  22,258                  -
Equity in
earnings of
subsidiaries            5           423,587       3,944,514                       -          1,952,788
-------------------  ------        ----------        --------               ---------           --------
                                  4,392,589       4,235,050               2,104,752          2,076,306
Operating
expenses
Organisational
fees                                   (700)              -                (461,992)          (457,703)
Investment
advisory fees                    (1,048,079)     (1,048,079)               (189,460)          (189,460)
Professional
fees                               (121,909)        (99,199)                (80,687)           (65,974)
Directors'
fees and
expenses                            (46,070)        (46,070)                (39,514)           (39,514)
Broker fees                         (35,751)              -                 (22,472)           (13,636)
Trustee fees                        (42,329)        (42,329)                (19,397)           (19,397)
Other expenses                     (227,340)       (128,962)                 (3,034)            (2,426)
-------------------  ------        ----------        --------               ---------           --------
                                 (1,522,178)     (1,364,639)               (816,556)          (788,110)
-------------------  ------        ----------        --------               ---------           --------
Net income                        2,870,411       2,870,411               1,288,196          1,288,196
===================  ======        ==========        ========               =========           ========



Statement of changes in shareholders' equity
                     Notes   For the year ended 30 June 2005   Period from 15 July 2003 to 30 June 2004
                                Consolidated         Company           Consolidated             Company
                                         US$             US$                    US$                 US$

Paid-in capital
At 1 July 2004                     9,500,000       9,500,000                      -                   -
Issue of
shares                   6        82,885,989      82,885,989              9,500,000           9,500,000
--------------------  ------         ---------        --------              ---------            --------
Balance at end
of the year                       92,385,989      92,385,989              9,500,000           9,500,000
--------------------  ------         ---------        --------              ---------            --------
Retained earnings
At 1 July 2004                     1,288,196       1,288,196                      -                   -
Net income                         2,870,411       2,870,411              1,288,196           1,288,196
Dividend
payment                             (304,000)       (304,000)                     -                   -
--------------------  ------         ---------        --------              ---------            --------
Balance at end
of the year                        3,854,607       3,854,607              1,288,196           1,288,196
--------------------  ------         ---------        --------              ---------            --------
Total
shareholders'
equity                            96,240,596      96,240,596             10,788,196          10,788,196
====================  ======         =========        ========              =========            ========


Statement of cash flows
                     For the year ended 30 June 2005   Period from 15 July 2003 to 30 June 2004
                        Consolidated         Company           Consolidated             Company
                                 US$             US$                    US$                 US$

Cash flows from
operating
activities
Net income                 2,870,411       2,870,411              1,288,196           1,288,196
Adjustments for:
Gain on
investments in
associates                (1,054,499)              -             (1,230,000)                  -
Gain on
investments in
financial
assets                    (1,333,352)              -               (458,690)                  -
Unrealised
foreign
exchange gain
(loss)                       172,920               -               (202,031)                  -
Gain on sale
of investment                (38,414)              -                      -                   -
Dividend
income                    (1,066,189)              -                      -                   -
Interest
income                      (485,442)       (290,383)               (37,498)            (33,190)
Dividend paid               (304,000)       (304,000)                     -                   -
Equity in
earnings of
subsidiaries                (423,587)     (3,944,514)               (17,276)         (1,952,788)
--------------------         ---------       ---------              ---------           ---------
Net loss
before changes
in working
capital                   (1,662,152)     (1,668,486)              (657,299)           (697,782)
Increase in
deposit,
advances and
other
receivables               (3,451,604)        (68,938)            (1,100,547)             (1,389)
Increase in
accounts
payable and
accrued
expenses                     504,323         452,241                197,796             156,414
--------------------         ---------       ---------              ---------           ---------
Net cash used
in operating
activities                (4,609,433)     (1,285,183)            (1,560,050)           (542,757)
Cash flows from
investing
activities
Interest
received                     300,255         290,383                 37,405              33,174
Dividend
received                   1,066,189               -                      -                   -
Acquisition of
investments              (37,752,964)    (73,760,001)            (8,069,568)                  -
Proceeds from
sales of
investments               10,866,648               -              2,843,048                   -
Investment in
subsidiaries              (1,990,000)              -                      -          (7,450,000)
--------------------         ---------       ---------              ---------           ---------
Net cash used
in investing
activities               (27,509,872)    (73,469,618)            (5,189,115)         (7,416,826)
Cash flows from
financing
activities
Proceeds from
shares issued             82,885,989      82,885,989              8,400,000           8,400,000
--------------------         ---------       ---------              ---------           ---------
Net cash from
financing
activities                82,885,989      82,885,989              8,400,000           8,400,000
Net increase
in cash and
equivalents
for the year              50,766,684       8,131,188              1,650,835             440,417
Cash at the
beginning of
the year                   1,650,836         440,417                      -                   -
--------------------         ---------       ---------              ---------           ---------
Cash and cash
equivalents at
end of the
year                      52,417,520       8,571,605              1,650,835             440,417
====================         =========       =========              =========           =========

Notes to the financial statements


1                        Principal activity

Vietnam Opportunity Fund Limited was incorporated in the Cayman Island as a
company with limited liability. The registered office of the Company is PO Box
309GT, Ugland House, South Church Street, George Town, Grand Cayman, Cayman
Islands. The Company holds a 100% interest in the following entities, which were
incorporated in the British Virgin Islands:

   • Asia Value Investment Ltd
   • Vietnam Enterprise Ltd
   • Vietnam Investment Property Ltd
   • Vietnam Investment Property Holdings Ltd

• Vietnam Investment Ltd

   • Vietnam Ventures Ltd
   • VOF Investment Ltd

The principal activity of the Company is to invest in listed and unlisted
companies, debt instruments, assets and other opportunities in Vietnam and
surrounding countries with objective of achieving medium to long-term (three to
five years) capital appreciation and providing investors with an attractive
level of investment income from interest and dividends.

As at 30 June 2005, the Company had no employees.

2    Transition to International Financial Reporting Standards

Basis of presentation

The financial statements expressed in United States Dollars have been prepared
under the historical cost convention and in conformity with International
Financial Reporting Standards.


Principles of Consolidation

The consolidated financial statements include the financial statements of the
Company and its subsidiaries. Subsidiaries are consolidated from the date the
Company obtains control until such time that such control ceases. All
inter-company balances and transactions have been eliminated. There is no
goodwill arising upon consolidation.

Cash and cash equivalents

Cash and cash equivalents include cash in bank and short-term, highly liquid
investments readily convertible to known amounts of cash and which are subject
to insignificant risk of changes in value.

Investments

Investments are initially recorded at their cost of acquisition, which generally
consists of the purchase price of the security or the fair value of the
consideration given in exchange and other costs directly related to the
acquisition. Subsequent to acquisition, the investments are carried at the
following values:

Financial assets

Financial assets consist of portfolio investments of listed and unquoted
marketable equity securities, which are carried at fair value. Fair value of a
listed security is determined by the quoted market price on the last trading day
of each quarter. Fair value of an unlisted security is determined by the price
of the most recent comparable transaction for that security, if any, before the
end of each quarter. Gains and losses are recorded in the statement of income.
The cost of securities sold is determined on a first-in first-out basis.

Associates

Investments in enterprises in which the Company has significant influence are
accounted for using the equity method, whereby the investment is originally
recorded at cost and adjusted for changes in the Company's share of the equity
of the associate since date of acquisition. The Company's share of the results
of operations of an associate is accounted for in the statement of income.

Investments in associates that have been acquired and are being held exclusively
for the purpose of disposing of them in the near future are carried at fair
value, determined by reference to an independent appraisals performed by a
professional appraisers. Gains and losses are recorded in the statement of
income.

Subsidiaries (parent company accounts)

Investments in subsidiaries are accounted for using the equity method. The
Company's share of the results of operations of a subsidiary is accounted for in
the statement of income.


Interest and dividend income

Interest income is recognized on an accrual or if applicable effective yield
basis. Dividend income is recorded when the stockholders' right to receive the
dividend is established.

Impairment of assets

The carrying amounts of the Company's assets are reviewed at each balance sheet
date to determine whether there is any indication of impairment. If any such
indication exists, the asset's recoverable amount is estimated. An impairment
loss is recognised whenever the carrying amount of an asset or its
cash-generating unit exceeds its recoverable amount

Foreign currency transactions
The accounting records of the Company are maintained in United States Dollars.
Foreign currency transactions during the year are translated at the exchange
rates that approximates those prevailing on transaction dates. Foreign currency
monetary assets and liabilities at the balance sheet date are translated into
United States Dollars at exchange rate that approximates those prevailing on
that date. Exchange gains and losses are recognized in income for the period.

Related parties

Related parties include companies which directly or indirectly hold significant
equity interests in the Company ('parent companies'), other investees of such
companies ('affiliated companies'), subsidiary companies, joint venture
partners, key management personnel of the Company or its parent, close relatives
of the foregoing, or parties which are significantly influenced or controlled by
any of these.



3.      Investment in financial assets
                                                                   Consolidated
                         Number of         Type of Closing balance Gain (loss)
                          shares          security
                                                                   
                                                             US$            US$
Listed securities
Ree Corporation
(REE)                    946,715   Ordinary shares     1,594,178         86,585

Sacom (SAM)              395,250   Ordinary shares       959,708         11,823

Savimex (SAV)            220,140   Ordinary shares       412,346        (38,345)

Tribeco (TRI)            529,890   Ordinary shares       701,797        (35,063)

Chau Thoi
Concrete 620
Corporation
(BT6)                     60,130   Ordinary shares       111,872        (14,323)

Gilimex (GIL)            123,380   Ordinary shares       239,663        (11,708)

Vietfund
Management
(VMFVF1)                 880,880   Ordinary shares       483,328        (16,279)

Agifish (AGF)              8,120   Ordinary shares        16,285         (2,786)

Bien Hoa
Confectionary
Corporation
(BBC)                    196,320   Ordinary shares       195,627            349

Cobovina Bach
Tuyet (BBT)                   10   Ordinary shares             8              -

North Kinh Do
Food Joint
Stock Company            160,500   Ordinary shares       364,405        107,945
----------------------     -------                        --------      ---------
                                        ----------
                                                       5,079,217         88,198
----------------------     -------      ----------        --------      ---------
Unlisted securities
Financial
Institutions           3,447,785   Ordinary shares     7,261,051      1,104,727

Bao Minh CMG
Life Insurance
Company                  255,350   Ordinary shares     3,204,758       (131,843)

Vinamilk Joint
Stock Company            211,058   Ordinary shares     3,800,269        196,939

Phuong Nam Corp
Cultural Goods
Manufacturing
Joint Stock
Company                  225,930   Ordinary shares       207,321         20,595

Sa Giang
Import Export
Corporation               10,000   Ordinary shares       104,062         (1,192)

Tuong An Oil
Joint Stock
Company                   16,205   Ordinary shares       161,478          5,335

Hau Giang
Pharmacy
Company                   19,195   Ordinary shares       264,512         47,378

Sohafarm                  23,250   Ordinary shares       148,099           (959)

Bac Ninh
Agricultural
Company                   27,200   Ordinary shares       188,698         11,093

Vinacafe Bien
Hoa Joint Stock
Company                   14,470   Ordinary shares       158,790         21,737

Bien Hoa
Electricity
Company                    3,000   Ordinary shares        20,557            650

Bien Hoa Sugar
Joint-stock
Company                   38,280   Ordinary shares       263,151           (258)

Saigon Housing
Corporation               49,760   Ordinary shares       469,168        (74,019)

Cho Lon Housing
Construction
and Business
Company                    5,000   Ordinary shares        41,309         (4,481)

Sai Gon Postel
Corporation               40,000   Ordinary shares       413,010         14,376

Binh Minh
Plastic Company            2,050   Ordinary shares        22,626            (46)

Do Thanh
Plastic Joint
Stock Company             15,664   Ordinary shares       128,426         25,070

Ho Chi Minh
Infrastructure
Investment
Joint Stock
Company                   60,000   Ordinary shares       501,387          5,330

Tien Phong
Technology
Company                  300,000   Ordinary shares       236,504         (1,985)

Geology and
Mineral
Resources
Company                    3,000   Ordinary shares        19,299           (162)

Saigon-Can Tho
Brewery                   53,060   Ordinary shares       438,374         14,027

Taya Vietnam
Electric Wire
and Cable Co               5,000   Ordinary shares        67,798         10,707

Kinh Do
Corporation            2,000,000   Ordinary shares     5,517,093        (24,850)

Dongnai
Municipal Bond           220,000   Bond                1,401,485          6,985
---------------------     -------- ----------             --------      ---------
                                                      25,039,225      1,245,154
 ---------------------    --------      ----------        --------      ---------
                                                      30,118,442      1,333,352
 =====================    ========      ==========        ========      =========




4.      Investment in associates

                                                                    Consolidated
                                      Proportion of Closing balance  Gain (loss)
                                        ownership
                                         interest             US$            US$
AA Land Corporation
Limited                                        29%        525,885        (72,365)
Kido's Ice Cream
Corporation                                    30%        765,416        137,800
International School
Hochiminh City                                 42%      2,074,064        989,064
Nha Trang Project                              30%        864,972              -
34 Ton Duc Thang
Project                                        30%      1,530,000              -
A&B Project                                    35%   1,050,000               -
Petrolimex Real
Estate Project                                 10%     630,676               -
---------------------                     ---------     --------       ---------
                                                     7,441,013       1,054,499
                =====================     =========     ========       =========
5.      Investment in subsidiaries
                                              Closing balance     Consolidated

                                                                   Gain (loss)
Saigon Water Park Ltd:                                  US$                US$
Acquisition cost                                  1,990,000                  -
Revaluation                                         840,000            840,000
Equity in net earnings for the year                (416,413)          (416,413)
----------------------------                   --------------          ---------
                                                  2,413,587            423,587
             ============================      ==============          =========

6. Paid-in capital

                                                                  Consolidated
                                                                           US$
Share capital: ordinary shares with nominal value of
US$0.01 per share.
Authorized 500,000,000 shares; issued 2005:
65,654,654 shares,                                      751,547         95,000
2004: 9,500,000 shares
Share premium                                        91,634,442      9,405,000
--------------------------------                      -----------    -----------
                                                     92,385,989      9,500,000
                    ================================  ===========    ===========

7. Taxation

The Company is exempt from income tax pursuant to the Tax Concessions Law (1999
Revision) of the Cayman Islands.

8. Related party transactions

During the year, the following transactions with related parties were recorded:

Related party           Relation       Transaction                         US$

Vinacapital Investment
Management Limited      Affiliate      Investment advisory fees      1,048,079
----------------------  ---------      ----------------                ---------

At 30 June 2005 the following balances were outstanding with related parties:

Related party                                 Relation                 Payable
                                                                           US$
Vinacapital Investment Management Limited     Affiliate                197,831
----------------------                        ----------------       -----------

9. Commitments

                                                                           US$
Over 1 year                                                            350,000
----------------------                                      --------------------

10. Approval of financial statements

The financial statements were approved by the Board of Directors.

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