Vietnam Dealbook: Hanoi Water, Ca Mau

After reviewing the operational status of State-owned enterprises (SOE), the Vietnamese Government has decided to increase the number SOE to be equitised by fiscal 2015 to 532 companies (from the initial plan of 432 firms).

The equitisation process of Vietnamese SOEs – a process that involves unloading or diluting the government’s stake  in a state corporations through IPO’s (initial public offers) where shares are auctioned, or through private placements – kicks off in calendar 2015, with the listing of Hoan Kiem Water factory, a unit of Hanoi Water Co Ltd.

Meanwhile, Ca Mau Fertiliser, which had its IPO last December, prepares to list shares on the Ho Chi Minh City Stock Exchange.

Outside the border of the stock market, a Thailand investor looks to partner in a railway project.

Hanoi Water Co Ltd’s unit sells out IPO shares

Hoan Kiem Water Factory, a member of the Hanoi Water Co Ltd which is monopoly in supplying water for the capital city, has sold all of its 1.5 million shares, or a 28.6 per cent stake, at its IPO on February 13. The IPO attracted more than 70 investors who registered to buy a total volume of 3.7 million shares. Notably, there was a single buyer who wanted to purchase the entire batch of shares. However, the shares were then sold to 36 others at the average price of VND13,844 ($0.65), bringing about VND21.7 billion ($1.02 million) to the factory.

The state holds 65 per cent of the factory after the IPO.

There were nine IPOs in February, six of which saw 100 per cent of the shares offloaded, according to the Hanoi Stock Exchange. The total value raised through these auctions reached VND438.3 billion ($20.6 million)

Ca Mau Fertiliser to list shares on HOSE

Ca Mau Fertiliser has filed to list its 529.4 million shares on the Ho Chi Minh City Stock Exchange (HOSE) on February 13, implementing its commitment to investors that the firm would be listed in March. However, the detailed date has not been disclosed yet.

During Cau Mau Fertiliser’s IPO in December 11, nearly 129 million shares that it had offered were purchased at the average price of VND12,250 ($0.57). After the equitisation, the oil and gas giant PetroVietnam is holding a dominant stake of 51 per cent in the company.

Ca Mau Fertiliser estimated its revenue in 2014 at VND6 trillion ($281.7 million).

Another fertiliser company of PetroVietnam, Phu My Fertiliser, is a listed blue chip on HOSE, closing the latest trading day at VND31,800 ($1.5). Investors expects that Ca Mau Fertiliser will also be a market hit.

 

Also read: Vietnam to launch 292 state co IPOs in 2015

Thai firm seeks investment on railway project through BOT

Thailand construction firm Italian-Thai Development PLC (ITD) is keen on the Vietnam’s Hanoi-Hai Phong railway project and has asked the Vietnamese government to join in under the build-operate-transfer (BOT) contract, the Ministry of Transportation has said.

ITD estimated the initial costs for the project would mount to $800 million, that does not include land compensation and warehouse rent. Premchai Karnasuta, president of ITD, proposed the construction of an inland port on the outskirts of Hanoi to increase the exploitation effectiveness of the project, like what the Thai company had done in Thailand and Myanmar.

In addition, ITD also showed its interest in investing in the $2.5 billion Ha Long-Mong Cai railway project.

 

 

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.