|Viettel Global is running business in 10 international markets
On September 25th, 2018, shares of Viettel Global Investment Joint Stock Company (Viettel Global) was on the Unlisted Public Companies (UPCoM) for the first trading with the stock code VGI. VGI had a reference price of VND 15,000 per share and with more than 2.2 billion shares of Viettel Global to be listed, the Company was valued at nearly USD 1.5 billion.
On the stock market, VGI is the first stock of a company specializing in mobile information services in more international markets than any other company.
Although Viettel Global is running business in 10 international markets at present, there are only 9 markets included in the consolidated business results, including: Cambodia, Laos, Haiti, Myanmar, Burundi, Mozambique, Tanzania, Cameroon, and East Timor.
In particular, Peru is the market where Viettel Global achieves the highest revenue and profit in the current time, but these figures are not included in the consolidated results, stemming from Peruvian regulations that any investment in this country must be named by Viettel Group.
As stated by Mr. Do Manh Hung - General Director of Viettel Global at the listing session: “Viettel Global will make even more radical changes to all of our global operations, particularly, focus on providing more new generation telecommunications services, combined with information and financial technology”.
Viettel Global, established in late 2007 with chartered capital of VND 960 billion, is in charge of foreign investment operation of Military Industry and Telecoms Group (Viettel Group).
By 2017, it served nearly 40 million international customers, representing a 13% growth in customer base, more than four times higher than that of the world on average (about 3%) compared to 2016.
Total consolidated revenue of Viettel Global in 2017 experienced a sharp growth to VND 19,023 billion - showing an increase by 24%. Profit before tax reached VND 27 billion (equivalent to USD 1.18 million). These figures show considerably positive results in the context of high operating costs due to the large investment required in Myanmar and some new African markets in the early stage.
In 2018, Viettel Global aims to achieve positive profit even though it newly operates in Myanmar, known as its largest international market (launched on June 09th, 2018). The customer growth in 2018 is expected to reach 15% compared to 2017.
At the Annual General Meeting held in mid-June, 2018, shareholders of Viettel Global voted to increase the chartered capital to VND 30,430 billion by issuing 800 million ordinary shares under private offering with a reference price of VND 10,000/share (valued at VND 8,000 billion) to the parent company (Viettel Group).
The entire capital amount will be used to increase the size of working capital to suit the investment needs of Viettel Global's projects to 2020. The number of shares will be restricted from transfer within one year from the date of completion of the offering
Up to the end of June, 2018, three markets of Viettel, namely Laos, Cambodia, East Timor were subject to capital return and ranked No. 1 in the telecommunications network market. Particularly, Myanmar is considered the largest and most anticipated market in 2018 among 9 international markets of Viettel in term of growth.
Viettel Group’s investment capital in the international market is registered with more than USD 2 billion, of which more than 50% was disbursed. There was a total of USD 516 million of profit transferred to Vietnam, accounting for nearly 45% of the investment capital. By 2020, Viettel Global aims to expand its investment market to a population of 400 - 500 million people and into the world’s top 10 telecommunications companies.PSNews