Domestic petroleum business to sell 45.55 per cent to strategic investor

August 14, 2017 | 10:48

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Thanh Le General Import Export Trading Corporation (Thanh Le) has been permitted to put a 45.55 per cent stake up for sale for strategic investors.

Thanh Le secures authorisation for a wholesome sale of shares (Illustration)

According to the equitisation plans approved by the prime minister, Thanh Le will sell one million shares, or 0.45 per cent of its chartered capital, to its employees, 11.83 million shares (5 per cent) at its initial public offering (IPO), and 108 million shares (45.55 per cent) to strategic investors.

After the equitisation, the state will hold 49 per cent and the corporation will have a chartered capital of VND2.37 trillion ($104.3 million) with a share volume of 236.6 million, worth VND10,000 per unit.

The prime minister authorised the chairman of the Binh Duong Provincial People’s Committee to decide the initial price for Thanh Le’s shares and adjust the chartered capital in case it will not divest based on the approved divestment plans.

Thanh Le currently operates in three sectors, namely petroleum trading, shipping, and real estate, with 11 affiliated units and six member companies. Besides, Thanh Le is known as the investor of Song Than 1 Industrial Park.

Petroleum business contributed the largest portion of the corporation’s revenue, equalling 98 per cent, however, in 2016, its revenue decrease by 50 per cent to VND6.63 trillion ($291.7 million) due to the consecutive decreases in the price of oil.

On December 31, its chartered capital was VND1.7 trillion ($74.79 million) with the total assets of VND6.06 trillion ($266.6 million).

By By Ha Vy

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