The Taiwanese electric cable maker Taya Vietnam is expected to list its shares on the Ho Chi Minh City Securities Trading Center in late November, becoming the first foreign-invested company to join the local bourse, a local newspaper said.
Taya, capitalized at VND182.7 billion (US$11.6 million), in October received its license from the Ministry of Planning and Investment to convert into a joint stock company, which is also the first FDI firm in the country to get such permission.
In May this year, Taya launched an initial public offering (IPO) to sell 2,440,150 shares, or 13.4 per cent of its total shares. The firm sold most of the shares and snapped up VND46.2 billion (2.9 million) with the average bid of VND18,922 a share.
However, the Taya share price is increasing and is now traded at over-the-counter market value at 2.2-2.3 folds higher than the its face value [VND10,000].
According to some investors, the shares of Taya are still attractive to investors because the company’s profit remains at a high level at about 41 per cent per year in 2000-2004.
By the end of September, the Dong Nai-based firm reaped revenue of VND542 billion (US$34.3 million), equaling to 117 per cent of the 2004’s figure, and profit of 24.17 billion (US$1.53 million), or 43.2 per cent of last year’s earnings. Its ownership capital is standing at VND265.3 billion.
Taya listing will be the benchmark for other foreign-invested enterprises to follow suit.
Vietnam so far has also licensed six FDI companies to change into joint stock models, including Taya Vietnam, Interfoods, Austnam, Taicera, Tung Kuang and Royal International.
In related news, Full Power, another Taiwanese company, also plans to auction its two million shares in order to turn itself into joint stock concern and list on stock exchange.
Full Power has registered capital of VND100 billion and specializes in design and construction.
VET
Vietnamese
