Capital Increase Report Form

BackDec 09, 2005

Capital Increase Report Form         (F 53-4)

TICON Property Fund (TFUND)
December 9, 2005

We, ING Funds (Thailand) Co., Ltd., ("ING") the management company of
TICON Property Fund (TFUND) (the "FUND"), hereby report the purpose
of the capital increase and the allotment of newly issued investment units of
the FUND as follows:

1.      Capital Increase:

        ING plans for the capital increase of the FUND for an additional value
        of not exceeding Baht 2,200,000,000 from the existing capital of
        Baht 1,750,000,000 to the new capital of not exceeding Baht
        3,950,000,000, by offering the new investment units in the number
        of not exceeding 220,000,000 units at the value of Baht 10 (Ten
        Baht) per unit.

2.      Allotment of new investment units:

        ING expects to allot the new investment units in the number of not
        exceeding 220,000,000 units at the value of Baht 10 per unit,
        totalling Baht 2,200,000,000, details of which are as follows:

2.1     Allotment details of the new investment units

        ING expects to allot the additional investment units in the number
        of not exceeding 220,000,000 units at the value of Baht 10 per unit
        in 2 portions as follows:

        Portion 1:  Not exceeding 88,000,000 units to be allotted to
        exiting unitholders whose names appeared in the unitholders
        register book

        Portion 2:  Approximately 132,000,000 units to be allot under a
        private placement basis (Private Placement) to investors who are
        institutional investors or specific investors and are unrelated to the
        owner of the assets and are not connected person under the relevant
        notification of the Board of Governors of the Stock Exchange of
        Thailand




Allotted  to           Number of          Ratio       Price    Subscription
Notes
                       investment units   (old:new)    per     and payment
                       (units)                        unit     period
                                                     (Baht)


Portion 1:  Existing   88,000,000         2:1         10       To be determined
(1), (2)
unitholders whose                                              later and after
names appeared in the                                          obtaining the
unitholders register                                           approval from the
book, for not                                                  Office of
exceeding                                                      Securities and
                                                               Exchange
                                                               Commission




Portion 2:  Investors   132,000,000       -           10       To be determined
(2)
under a private                                                later and after
placement basis                                                obtaining the
(Private Placement)                                            approval from the
who are institutional                                          Office of
investors or specific                                          Securities and
investors and are                                              Exchange
                                                               Commission

unrelated to the owner
of the assets and are
not connected persons
under the relevant
notification of the
Board of Governors of
the Stock Exchange of
Thailand, for
approximately












Notes:

(1)    The date of the closing of the unitholders register book to suspend
       the transfer of investment units for determining the right of
       subscription of the additional investment units will be determined
       later after obtaining the approval from uniholders' meeting to
       increase the Fund's capital.

(2)    Should there be the additional investment units remaining from the
       Right Offering portion, Portion 1, ING shall be authorized to allot
       them to the institutional investors or specific investors who are
       unrelated to the owner of the assets and are not connected person
       under the relevant notification of the Board of Governors of the Stock
       Exchange of Thailand, who have subscribed the investment units
       under Portion 2.  Furthermore, ING shall have the right to take other
       actions necessary and relevant to such allotment in all respects,
       including determining conditions and details in relation to the
       allotment of the additional investment units and appointing any
       substitute for taking such actions.



2.2    Plan in case where there is a faction of investment units remaining

       This allotment shall have no fraction of investment units. In case,
       there are fraction of the investment units from the capital increase,
       such fraction of the investment units will be allotted to the
       institutional investors or specific investors who are unrelated to the
       owner of the assets and are not connected person under the relevant
       notification of the Board of Governors of the Stock Exchange of
       Thailand, who have subscribed the investment units under Portion 2.


3.     Scheduled for unitholders meeting to approve the capital
       increase/allotment

       The Meeting of Unitholders No. 1/2006 is scheduled to be held on
       January 9, 2006 at 10:00 a.m. at Grand Hall, The Bangkok Club,
       28th Floor, Sathorn City Tower, South Sathorn Road, Khwaeng
       Toongmahamek, Khet Sathorn, Bangkok. The investment unit
       register will be closed to suspend the transfer of investment units to
       determine the rights to attend this meeting from December 26, 2005
       at 12.00 noon, until the meeting is adjourned.

4.     Approval of the capital increase/investment unit allotment by
       relevant governmental agency and conditions thereto (if any)

       After obtaining the approval from the FUND's unitholders for the
       capital increase of the FUND for investing in additional assets, ING
       will seek approval of the Office of the Securities and Exchange
       Commission on the capital increase of the FUND.

5.     Objectives of the capital increase and use of proceeds received
       from the capital increase

       To purchase or invest in additional assets and to procure benefits
       therefrom to generate income and returns to the Fund and the
       unitholders and to carry our the objectives for the establishment of
       the FUND.

6.     Benefits which the FUND will receive from the capital
       increase/investment units allotment:

       To enable the FUND to invest in new real properties which will
       result in the FUND being able to generate more income from such
       assets and the unitholders will have opportunities to receive more
       benefit in form of dividends. Furthermore, the additional investment
       units may increase the liquidity of the investment unit trading in the
       Stocks Exchange of Thailand.

7.     Benefits which the unitholders will receive from the capital
       increase/investment units allotment:
       When the FUND increases more investment in assets, the size of the
       FUND will be increased, which could attract investors, and it is
       expected that the liquidity of the investment unit trading in
       secondary market will also increase. Furthermore, the FUND should
       be able to generate more income from the assets, and the
       unitholders have opportunities to receive more benefit in form of
       dividends.

8.     Other details necessary for unitholders to approve the capital
       increase /share allotment:

       -None-

9.     Schedule of action for the capital increase of the FUND and
       allotment of new investment units:

9.1    The date of the closing of the unitholders register book to
       suspend the transfer of investment units for determining the
       right of unitholders to attend the unitholders meeting no.
       1/2006 on January 9, 2006 will be on December 26, 2005 at
       12.00 noon onward until the meeting is adjourned.

9.2    The date of the unitholders meeting no. 1/2006 will be on
       January 9, 2006, at 10.00 a.m. at Grand Hall, The Bangkok
       Club, 28th Floor, Sathorn City Tower, South Sathorn Road,
       Khwaeng Toongmahamek, Khet Sathorn, Bangkok, to
       consider the capital increase of the FUND and the allotment
       of additional investment units and to amend the fund scheme
       of the FUND

The Company hereby certifies that the information contained in this
report form is true and complete in all respects.




                           Signed authorized directors






                             (Mr. Maris Tarab)
                             Managing Director