HANOI: A new chapter is expected to unfold in Vietnam’s financial market, as companies across various sectors gear up for their initial public offerings (IPOs), signalling a notable shift in the country’s investment landscape.
Recent developments in the Vietnamese IPO scene have set the stage for a series of high-profile offerings.
Notable among these is Vinpearl, a subsidiary of the renowned Vingroup conglomerate.
It is known for its extensive portfolio of hotels, resorts, spas, conference centres, culinary establishments and five-star golf courses across Vietnam.
Vinpearl’s board of directors recently approved a filling for a public offering to existing shareholders, a move that brings the real estate giant one step closer to the eagerly anticipated launch of its IPO.
The approved plan outlines the upcoming public offering, expected to take place either in the fourth quarter of 2024 (4Q24) or 1Q25.
The company aims to issue 70 million shares at a rate of 1,000:40.673.
With a price of 71,350 Vietnamese dong per share (US$2.81), its targeted fundraising goal is over five trillion dong, if all the shares are successful distributed to shareholders.
The IPO landscape in Vietnam has weathered a subdued phase following the outbreak of the Covid-19 pandemic, with state-owned enterprises largely absent from the public market limelight.
Instead, private enterprises have taken centre stage, with notable examples such as the recent offering by DNSE Securities Joint Stock Company, which sought to sell 30 million shares to investors.
The Vietnamese market is on the brink of an IPO resurgence, with policymakers focusing on enhancing transparency and streamlining administrative procedures to encourage IPO activities that align seamlessly with listing requirements.
Not long after the National Assembly officially approved revisions to nine laws, including the Securities Law, a draft mending Decree 155/2020/NĐ-CP, which details the implementation of specific provisions of that law, is currently undergoing review by the Finance Ministry and the State Securities Commission of Vietnam. — Viet Nam News/ANN
