HYSAN Development placed out $1.3 billion of shares yesterday, only hours before reporting a better-than-predicted 37.8 per cent net profit rise to $980 million for last year. The placement will partly pay for the acquisition of the Lee Gardens Hotel site in Causeway Bay from the Lee family, the single largest shareholder in both Hysan and the hotel. Analysts welcomed both Hysan's results and the hotel acquisition plan. The site has a potential development area of at least 728,000 square feet. S.G. Warburg Securities analyst Michael Green said: ''The results and acquisition together mark the success of the management to turn the company around from the sleepy property investment operation of a few years ago into an expanding dynamic group withincreasing earnings and more profit-generating potential.'' Earnings per share were $1.13, up 37.8 per cent, reflecting the improved net profit. The annual dividend was 72 cents, up 16.7 per cent. The results put the shares on a price-earnings multiple of 13.6, where they yield 4.67 per cent. The private placement, mainly to institutions, was of 86.77 million shares, 10 per cent of the company's issued share capital. The shares were sold for $14.95 each, a 2.9 per cent discount to the closing price. The placement price puts the shares on a 1992 PE of 13.23, and, according to average forecasts, a prospective 1993 PE of 13.71. The Lee Garden Hotel site, at least 58,500 sq ft, has been bought for $2.45 billion. Analysts said negotiations were taking place on plot ratios for an additional 10,000 sq ft of driveway. Analysts were positive about the Lee Gardens redevelopment, as the premises would be scheduled to come on the market in 1996, when office supply in the territory is expected to be tight, and ahead of the completion of new reclamations in Kowloon and on Hongkong island in 1997. Should the site be redeveloped into offices and a four-floor shopping centre, analysts said the net annual rental income after 1996 would be about $475 million. That calculation is based on potential gross floor area of 978,000 sq ft, 200,000 sq ft of it devoted to shops and the rest to offices. A Baring Securities spokesman said the deal would benefit Lee Gardens shareholders, who include Tai Cheung, Swire Pacific and HSBC Holdings. A Barclays de Zoete Wedd analyst said Hysan might sell part of the site, as it had sold part of the Lee Theatre site, which the company is now developing. Chairman Lee Hon-chui said in a statement that China still provided great opportunities for investors and would maintain Hongkong's economic growth momentum. But he warned that a continuation of the current Sino-British political dispute would be likely to affect local business confidence. Hysan's results included an exceptional gain of $264.94 million on the sale of 30 per cent of the Lee Theatre development and the sale of the Royal Garden. Group turnover rose 15.75 per cent to $1.22 billion. The operating profit rose 17.74 per cent to $818.3 million. Taking into account the exceptional item and $34.7 million from Hysan's share of profits and losses at associated companies, the pre-tax profit was $1.11 billion, up 38.8 per cent. With the completion of Caroline Centre, now 75 per cent occupied, the group has offices with a gross floor area of about 1.94 million sq ft. ''The office and leasing market in Hongkong is still slow, due to the abundant supply, which may not be fully absorbed before 1994,'' the company said. ''However, the residential and retail leasing markets should remain strong.'' It added: ''Barring unforeseen circumstances, the performance of the group before exceptional items should continue to improve due to the increase in rental income arising from Caroline Centre.''