Vietnam raises $184m by selling 20% of PVOil in IPO

Source: PVOIL's Facebook page

The Vietnamese government has raised VND4.18 trillion ($184 million) by selling a 20 per cent stake in PVOIL via an initial public offering (IPO) on the Ho Chi Minh City Stock Exchange on Thursday.

The proceeds exceeded the government’s target of raising at least $122 million from the IPO. With a 20-22 per cent market share, PVOIL is the second largest petroleum distributor in the country after Vietnam National Petroleum Group (Petrolimex).

Demand in the PetroVietnam subsidiary’s IPO exceeded supply by 2.3 times as nearly 100 domestic and foreign institutional investors participated in the auction. The company’s shares will start trading on the Unlisted Public Company Market (UPCoM) on the Hanoi Stock Exchange (HNX) three months after the IPO.

PVOIL will further offer an additional 44.72 per cent stake to strategic investors through a private placement. The company’s CEO Cao Hoai Duong said the strategic stake sale has attracted interest from 10 buyers, including five foreign investors. DEALSTREETASIA had earlier reported that interested buyers include Sovico Holdings, which is backed by VietJet Air CEO Nguyen Thi Phuong Thao, as well as Shell, Idemitsu, Kuwait Petroleum International and Thailand’s PTT.

Last week, the Vietnamese government raised 5.57 trillion dong ($245 million) by selling a 7.79 per cent stake in refinery operator Binh Son Refining and Petrochemical.

Next week, the government will sell a 20 per cent stake in another PetroVietnam subsidiary, PV Power. It expects to raise at least $295 million from the IPO.

Also Read:

Vietjet co-founder, Shell among those vying for PV Oil strategic stake

Vietnam raises $245m from refinery operator Binh Son’s IPO

PetroVietnam targets raising over $570m from IPOs of three subsidiaries this month

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. 
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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.