State-owned shipping firm Vietnam National Shipping Lines (Vinalines) will trade 5.4 million shares on the Unlisted Public Company Market (UPCoM) on October 8, announced by the Hanoi Stock Exchange.
The shares, under code MVN, will start the first trading day at VND10,000 (US$43 cents) per share.VNA
At this price level, the company’s market capitalisation will reach VND54 billion.
On September 5, Vinalines put up 488.8 million shares, or a 34.8% stake, on sale but only 5.43 million shares were taken at an average price of VND10,002.
According to the equitisation plan, Vinalines will have chartered capital of nearly VND14.05 trillion, thus trading volume on UPCoM accounts for less than 0.4% of Vinalines’ capital.
Vinalines, founded in 1995, is a 100% State-owned enterprise. It was transformed into a holding company in 2006 and a State-owned one member limited company in 2010.
In 2017, its consolidated financial statement recorded total sales of VND13.57 trillion, down 7.4% year-on-year, and a loss of VND537 billion from business activities. However, other profits of VND1.5 trillion lifted the company’s after-tax profit to VND748 billion, double the previous year.
Ending 2017, Vinalines had total assets of over VND28 trillion but its liabilities were up to VND20.2 trillion. The company still incurred cumulative losses of VND3.25 trillion.
In the first half of this year, Vinalines recorded revenue of VND6.3 trillion and net profit of VND23.9 billion.