BVF Beta Vietnam Fd

RNS No 8542w
BETA VIET NAM FUND LIMITED
29 October 1999


                     Beta Viet Nam Fund Limited ("BVNF")                      
                     -----------------------------------

The Directors of BVNF have noted the long announcement released yesterday by
Viet Nam Enterprise Investments Limited ("VEIL").  The announcement from VEIL
contains material inaccuracies which will be addressed in a letter to be sent
to BVNF shareholders in the early part of next week.

The very complex proposals referred to in the announcement were recently
considered by the Board of BVNF and were rejected on the basis that they were
highly conditional and uncertain, that a protracted and costly process would
need to be undertaken to implement them and that they failed to offer adequate
value to shareholders.  

The VEIL proposals do not constitute a takeover offer for the shares in BVNF
and it should be noted that VEIL has expressly stated that it does not intend
to make such an offer for BVNF.

The Board of BVNF has therefore decided that it is in the interests of
shareholders to press ahead with the proposed return of value to shareholders
of US$3.00 per share.  An extraordinary general meeting ("EGM") is to be held
on 5th November to approve this return of value and it is expected that
cheques will be despatched to shareholders no later than 22nd November.

In their announcement, VEIL claim that their proposal values each BVNF share
at $4.66, comprising two VEIL shares (valued at $0.78 each) plus $3.10 in
cash.  Since BVNF's latest published net asset value per share is $7.05,
($4.05 after the proposed return of US $3.00), VEIL are effectively offering,
at best, $1.56 in VEIL shares plus $0.10 in cash a total of $1.66 in exchange
for net assets per share of $4.05 - a discount of approximately 59%. 
 
Shareholders should note that VEIL place a value on their own shares
equivalent to full net asset value, whereas most other shares in Vietnam funds
trade at a significant discount to net asset value.  Were VEIL to value their
own shares at a discount similar to that applied to other Vietnam funds, then
their proposal would be worth significantly less than $4.66.  Interestingly,
in their own announcement, VEIL state that if they were to redeem some of the
VEIL shares issued as part of their proposals, then they would buy back these
shares at a discount to net asset value "determined in the absolute discretion
of the directors of VEIL".  This contrasts starkly with their valuation of
their shares at full net asset value.

The proposals announced by VEIL contemplate a significant delay in the process
of returning value to shareholders with no certainty at all that the VEIL
proposals could or would be implemented.  Under BVNF's proposals, shareholders
will receive US $3.00 per share by no later than 22nd November whereas, under
VEIL's proposals, (even if these were to be implemented), shareholders would
not receive their cash until at best, well into the New Year.  On this basis,
the directors of BVNF do not believe that the VEIL proposals are in the best
interests of BVNF or its shareholders.
  
In any event, the implementation by BVNF of the proposed return of value to
shareholders does not preclude the Directors of BVNF from exploring with any
party, including VEIL, proposals which would then increase shareholder value. 
There is therefore no reason to delay your positive vote and the lodging of
your proxies for next week's EGM and warrantholder meeting.

Accordingly, the Board of BVNF advises shareholders and warrantholders  to
take no action in relation to yesterday's announcement by VEIL and reminds
shareholders and warrantholders that the proxies in respect of the forthcoming
EGM and warrantholder meeting of BVNF should be posted as soon as possible,
such that they are received by BVNF's registrars no later than 12 noon on
Wednesday 3rd November 1999.

Contacts:
Dick Povey                 Beta Viet Nam Fund             Tel:  0171 588 7511
Louis Castro               Williams de Broe               Tel:  0171 588 7511

Williams de Broe Plc, which is regulated by the Securities and Futures
Authority Limited, is acting for Beta Viet Nam Fund Limited in connection with
the matters described herein and is not acting for any other person and will
not be responsible to any other person for providing the protections afforded
to customers of Williams de Broe Plc or for advising on the transactions and
arrangements proposed in this document.

The Directors of BVNF accept responsibility for the information contained in
this announcement, save that the only responsibility accepted in relation to
the information concerning VEIL (which has been extracted from published
sources) is to ensure that such information has been correctly and fairly
reproduced and presented.  Subject thereto, to the best of the knowledge and
belief of the Directors of BVNF (who have taken all reasonable care to ensure
that such is the case), the information contained in this announcement is in
accordance with the facts and does not omit anything likely to affect the
import of such information.


END

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