Pacific Arrow Star will focus on Vietnam.
Alony Hetz Property and Investments Ltd. (TASE: ALHE) has signed an memorandum of understanding (MOU) with Singapore-based Pacific Star Holding pte Ltd. to set up a real estate fund to invest in Southeast Asia, to be called Pacific Arrow Star. The new fund will focus on Vietnam, but will also consider business opportunities elsewhere in the region.
The parties plan to raise $200 million for the fund by July 2008, of which Alony Hetz will invest $50 million from its own resources. Alony Hetz and Pacific Star will own the fund's management company in equal shares.
Alony Hetz CEO Nathan Hetz said, "We've been looking at various countries in the Far East and found the region interesting and full of potential. We therefore decided to expand our perspective and invest up to 20% of the company's shareholders' equity in the region, i.e. up to $100 million. We've already announced plans to invest $40 million in India, and we now intend to invest $50 million, mostly in Vietnam.
Published by Globes [online], Israel business news - www.globes-online.com - on January 16, 2008
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