An Quy Hung wins Vinaconex auction

November 23, 2018 | 14:00

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An Quy Hung Limited Company, with only VND360 billion ($15.6 million) of charter capital, succeeded in acquiring 57.71 per cent stake in Vietnam Construction and Import-Export JSC (Vinaconex) for VND7.366 trillion ($320.26 million).

An Quy Hung wins the auction for Vinaconex stake (Source:NDH)

On November 22, the State Capital Investment Corporation (SCIC) put its entire stake, equivalent to nearly 254.9 million shares or 57.71 per cent of Vinaconex’s charter capital, on sale with the initial price of VND21,300.

An Quy Hung won the bidding by offering VND28,900 apiece for the offered shares, 35.6 per cent higher than the initial price and double Vinaconex’s stock price.

An Quy Hung, established in 2001, has a charter capital of VND360 billion ($15.6 million). The company has total assets of VND1 trillion. In 2017, it reported VND956 billion ($41.56 million) in net revenue and VND62.4 billion in after-tax profit.

The two shareholders of the company are Nguyen Xuan Dong (70 per cent charter capital) and his wife Do Thi Thanh (30 per cent).

Three years ago, An Quy Hung lost an auction for a stake in Kim Lien hotel to Thaigroup.

At present, An Quy Hung owns three member companies, one in media, one in real estate, and one manufacturing materials.

Vinaconex’s auction was joined by two other companies (Star Invest Co., Ltd. and Thang Long Infrastructure Investment Joint Stock Company) and individual Nguyen Van Dong.

As previously reported by VIR, it remains a mystery how An Quy Hung is planning to mobilise the VND7.366 trillion ($320.26 million) capital for the auction, as their companies seem to be far too small for the task.

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