Vietnam Airlines raises US$69,080 from transferring rights to buy shares
Vietnam State has raised only VND1.57 billion (US$69,080) from transferring the right to buy 57.9 millions of its shares in flag carrier Vietnam Airlines in the auction on Hanoi Stock Exchange (HNX).
The proceeds did not achieve the expectation of the government which plans to invest in the company's Boeing 787 and Airbus 350 fleet and raise its floating capital.
Illustration photo.
|
Meanwhile, the transport ministry, which represents the State's stake, earlier announced that it would auction 371.5 million share purchase rights, equivalent to 57.9 million additional shares. Investors who own 100 share purchase rights would buy about 15.57 shares of Vietnam Airlines.
In January 2017, Vietnam Airlines started listing and trading on UPCoM with HVN stock code. The carrier is in the process of accelerating equitization with a target to pare the state ownership to 51% by 2020.
Last year, Vietnam Airlines' total revenue stood at VND88.4 trillion (US$3.9 billion), with pre-tax profit at a record VND2.8 trillion (US$124.4 million), surpassing the annual plan by 72 per cent and 8.3% higher than in 2016.
Vietnam currently has four airlines, including national carrier Vietnam Airlines, budget operator Jetstar Pacific Airlines (partly owned by Vietnam Airlines), budget carrier Vietjet Aviation, and Vietnam Air Services (VASCO).
In 2010-2016, the Vietnamese air transportation market has witnessed a high average growth rate of 14.9% in passenger volume and 10.7% in cargo, informed Vietnam Civil Aviation Administration.
During the first 9 months of 2017, Vietnamese airports have served more than 71.75 million passengers, up 17.9%, and handled 833,000 tons of cargo, up 34.6% compared to the corresponding period in 2016.
A recent World Tourism & Travel Council report showed the tourism industry's contribution to Vietnam's gross domestic product will increase by nearly 90% to US$34.6 billion in 2027 from the US$18.4 billion recorded last year.
12:17, 2025/02/25
Vietnam eyes top 3 in investment environment in ASEAN next 2 years: Party Chief
A key objective is to trim off at least 30% of administrative procedures and cut both business costs and unofficial fees.
18:03, 2025/02/22
Vietnam attracts South Korean tech investment at SEMICON Korea 2025
The event provided a platform for Vietnam to showcase its semiconductor potential and reaffirm its commitment to developing high-tech industries and strengthening international cooperation.
16:46, 2025/02/20
Swedish group plans US$1 billion investment in Binh Dinh recycling plant
By creating a large number of jobs and promoting a green economy, the initiative is important in establishing Vietnam as a global hub for the circular textile sector.
10:52, 2025/02/13
Samsung plans to invest in AI, semiconductors in Vietnam
Vietnam will continue improving its investment environment and driving strategic breakthroughs in order to usher in a new era of economic development.
17:20, 2025/02/07
Vietnam's data center construction costs among the lowest in Asia Pacific
The country has a lot of potential to become one of the most important data markets in the region.
21:05, 2025/02/03
Bright prospects for FDI inflows into Vietnam in 2025
Market size, growth potential, low labor costs, and stable political and social conditions continue to be Vietnam’s selling points in attracting foreign investors.
- Foreign companies confirm investment expansion in Vietnam in 2025
- PM invites Skoda to manufacture electric vehicles in Vietnam
- US Berggruen Holdings to help Vietnam set up investment funds
- Vietnam releases Esports White Book 2022-2023
- Aircraft manufacturer Embraer seeks comprehensive aviation partnership with Vietnam
- Better links with FDI firms to support Hanoi businesses