Squarestone Brasil Limited ("Squarestone Brasil" or the "Company") is a real estate development and investment company, formed to pursue the Brazilian shopping mall development business currently operated by the São Paulo-based Squarestone Brasil II Administraçaoe Participação S.A. ("SB ManCo") and its London-based affiliate Squarestone Property Investment Management Limited ("SPIM").

The Company will be an active developer and investor, exclusively operating in the Brazilian shopping mall sector, with the objective of delivering superior returns to Shareholders.

The Company is not an investing company within the meaning of the AIM Rules.

The Squarestone Brasil Group, to be formed on Admission, will consist of:

- a 100 per cent. interest in an existing approximately 24,300 sq m net lettable area shopping mall investment, Bonsucesso Mall, that has already been successfully extended and leased by SB ManCo, with a further 7,500 sq m development phase due to commence in early 2011. Bonsucesso Mall has been currently valued by Jones Lang LaSalle Brasil (the "Valuers") at R$132.4 million (equating to approximately £45.6 million) and is being acquired by the Company for an aggregate net consideration of approximately £[TBC] million after allowing for the assignment of existing borrowings to SB2 FIP and working capital adjustments;

- a 50 per cent. interest in a mall development project, Golden Square Mall, due to be completed in

mid-2011. Golden Square Mall will, on completion, comprise approximately 31,000 sq m net lettable area, and the 100 per cent. interest has been currently valued by the Valuers at R$134.6 million (equating to approximately £46.4 million) which equates to a gross value for the Company's 50 per cent. interest of R$67.3 million (equating to approximately £23.2 million). The 50 per cent. interest is being acquired by the Company for an aggregate net consideration of approximately £17.4 million which is equivalent to the capital and accrued interest invested by the vendors to date and which also reflects the above 50 per cent. valuation share, after deducting, inter alia, outstanding committed but undrawn funding liabilities; and

- a pipeline of attractive potential shopping mall development opportunities (the "Prospective Pipeline"), which have been identified by SB ManCo and are currently in various stages of negotiation.

Listing exchange: AIM

Expected first day of trading: 2010-03-22

Expected money raised: TBC