Rubber giant plans IPO
A worker collects latex at a plantation owned by the Bình Dương Province-based Dầu Tiếng Rubber Company, an affiliate of the Việt Nam Rubber Group. — VNA/VNS Photo Đình Huệ
HCM CITY — Việt Nam Rubber Group is expected to list its shares on the HCM Stock Exchange in June or July after its initial public offering on February 二.
Phạm Văn Thành, head of VRG’s planning and investment department, revealed the IPO road map at an event on January 一 八.
The corporation will auction 四 七 五 million shares, equivalent to 一 一. 八 八 per cent of its total chartered capital of VNĐ 四0 trillion (US$ 一. 七 六 billion).
A similar number will be offered to strategic investors with 八 三 一,000 shares earmarked for employees and the trade union.
The State will retain three billion shares or 七 五 per cent of the capital after equitisation.
The minimum price for the auction has been set at VNĐ 一 三,000.
Investors have to submit their bids by January 三 一.
A month after the IPO, VRG would list on UPCoM, and by June or July at the latest in HCM Stock Exchange, Thành said.
Last year, the group achieved VNĐ 三. 六 trillion in net profit on revenues of VNĐ 一 九 trillion, easily achieving the targets it had set at the beginning of last year.
The group’s core business is natural rubber, which brings around 七0 per cent of its total revenues.
According to a Vietcombank Securities (VCBS) report, VRG enjoyed a good year in 二0 一 七 thanks to the strong global recovery in natural rubber prices.
VCBS has a positive outlook for the group in 二0 一 八 since the price of rubber will still remain high.
Besides, old rubber trees would be a large source of income, the report said.
VCBS has reco妹妹ended a reasonable price of VNĐ 一 六, 六 六0 for the share in the IPO. — VNS