VinaCapital divestment bout continues with $11 million deal

May 12, 2017 | 17:40
The Ho Chi Minh City Stock Exchange (HOSE) just announced that three of VinaCapital’s foreign investment funds have recently sold more than 29.4 million shares of Quoc Cuong Gia Lai Joint Stock Company (QCG).
VinaCapital completely divested its entire holding in Quoc Cuong Gia Lai, selling its 10.69 per cent stake for VND250 billion
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According to the announcement, VOF Investment Limited sold nearly 9.5 million QCG shares (equivalent to 3.45 per cent of QCG’s chartered capital), Asia Investment & Finance Limited sold about 2.87 million shares (1.04 per cent), and VOF PE Holding 5 Limited sold the most, with 17.06 million shares (6.2 per cent).

Therefore, VinaCapital has fully divested its 10.69 per cent holdings in the company.

The transaction results were not released, however, based on the average share price of VND8,950 (39 US cents), the total proceeds of these sales is expected to be more than VND250 billion ($11.02 million).

At the closing of the May 10 trading session, QCG shares marked a continuous increase, reaching VND12,450 (55 cent) per share, far higher than the ticker’s low-point on December 14, 2016, when it was VND3,000 (13 cents).

VinaCapital invested in QCG before the company was listed on the stock market on August 9, 2010 with the price of VND45,500 ($2.022) per share. According to Quoc Cuong Gia Lai’s 2016 financial report, the company had a total asset value of VND8,217 billion ($365 million). Of this, the company must pay a debt of VND4.2 trillion ($187 million).

The company had gained a total turnover of VND1.507 trillion ($67 million) in 2016. After-tax profit was VND44.6 billion ($1.98 million).

VinaCapital has been continuously divesting its portfolios recently. Right last month, the company sold the large-scale Dai Phuoc Lotus to Chinese Fortune Land Development at the total value of $65.3 million.

By By Bich Ngoc

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