Vinatex set to launch IPO on July 22

June 18, 2014 | 08:51

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Vietnam National Textile and Garment Group, or Vinatex, will launch an initial public offering (IPO) on July 22, one year slower than earlier scheduled.

A foreign customer selects Vinatex products at a shop in this fi le photo. The garment and textile group will launch its IPO on July 22 - Photo: Courtesy of Vinatex

Vinatex said on June 16 that it plans to hold a pre-flotation briefing on June 23 and organize seminars to introduce investment opportunities in the group in Hanoi and HCMC on July 2 and 4 before the IPO on the Hochiminh Stock Exchange.

According to Vinatex’s equitization plan approved by the Government, the group has total chartered capital of VND5 trillion. After the group goes public, the State will retain a 51% stake while 24% will be offered to strategic investors, 24.4% put up for public tenders and 0.6% sold to employees.

Vinatex has completed divestments from financial and credit institutions, recovering over 85% of capital in the sectors so far in line with Decision 320/QD-TTg of the Prime Minister.

Vinatex is expected to obtain VND25.2 trillion in revenue in the first half this year, up 10% year-on-year. Its domestic earnings are put at VND11 trillion, a year-on-year increase of 10%.

Vinatex’s export revenue is estimated to reach US$1.62 billion in the first half of this year, up 15% over the year-ago period. Its major exports include the United States, Europe, Japan and South Korea, with shipments to South Korea gaining the highest growth rate of 30.1% to US$874 million.

Vinatex said outbound sales from the United States had soared 14.5% and accounted for up to 44.5% of the group’s total export revenue in the January-June period.

SGT

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