Lan Nhi
The logo of Vietnam Airlines is seen on a jetliner at Tan Son Nhat International Airport. Vietnam Airlines sold out more than 49 million shares at its IPO last Friday - PHOTO: ANH QUAN
A total of 1,577 investors bought the 49 million shares, or 3.475% of the national carrier’s total, at an average price of VND22,307 each, slightly higher than the starting price. However, the airline failed to attract foreign investors.
Two local banks purchased most of the shares offered. Techcombank bought 25.8 million shares, or 52% of the total, while Vietcombank bought 22.6 million shares, or 46%. Techcombank has become one of the airline’s biggest investors.
Vietnam Airlines is in negotiations with several potential strategic investors to separately sell a 20% stake. The company is expected to hold its first shareholders meeting next year.
Speaking at the IPO auction, Deputy Minister of Transport Nguyen Hong Truong said the successful equitization of Vietnam Airlines and other State-owned enterprises would contribute to active and positive changes for the stock market and the local economy.
Given the equitization plan for the carrier that was approved by the Prime Minister, the State holds a 75% stake while 20% will be sold to strategic investors, 3.475% to the public via auction, and the rest to its employees.
According to Vietnamplus, the Government has ordered the Ministry of Transport to decide on the reduction of State ownership at Vietnam Airlines to less than 65% at an appropriate time.
In a plan to be carried out five years after equitization, the airline looks to keep its position as the national flag carrier, play a key role in domestic air transport and become a leading airline in Southeast Asia in both scale and service quality.
The Government has approved the carrier’s valuation at VND57.1 trillion based on its book value. Of this amount, State capital makes up VND10.5 trillion.
Earlier, a leader of an investment fund said that the low starting price is the main cause of the high share demand. The real value of the company is much higher than the book value, so the price is rather cheap to many investors.
However, BIDV Securities Company said Vietnam Airlines has some disadvantages such as low average revenue from international routes. Meanwhile, its service quality is lower than other regional carriers.
Đăng ký: VietNam News
