14:10 | 15/05/2019 Companies
The Ho Chi Minh Stock Exchange (HoSE) on May 7 officially opened the first trading session for more than 1.4 billion shares of Vietnam Airlines Corporation, listed with code HVN.
|Nguyen Hoang Anh, Chairman of the Committee for Management of State Capital at Enterprises, rings the gong to open the first trading session for HVN shares on the HoSE - Photo: Vietnam Airlines|
According to Decision No 115/QD-SGDHCM dated April 11, 2019, HoSE approved the listing of HVN stocks with a total value of 14,128 billion VND (607.75 million USD).
With the reference price on the first trading day set at 40,600 VND (1.75 USD) per share, the fluctuation range is ± 20 percent. The capitalisation value was estimated at 57 trillion VND (2.45 billion USD).
Nguyen Hoang Anh, Chairman of the Committee for Management of State Capital at Enterprises (CMSC), said Vietnam Airlines had become the largest capitalised company listed on the HoSE from the beginning of this year and one of the two companies among 19 State-owned corporations, which are represented by CMSC, with shares listed on the bourse.
“This is the result of the effective business strategy that Vietnam Airlines' Board of Directors has enforced," Anh said. "From the perspective of State owner, we assess that the State capital at Vietnam Airlines is an effective investment, bringing practical benefits to the State, shareholders and employees."
Chairman of the Vietnam Airlines' Board of Directors Pham Ngoc Minh said the listing was an important step to help Vietnam Airlines improve its reputation, increase transparency, standardise operations and access new investment sources.
On April 23 this year, all HVN shares listed on the UPCoM stock exchange were cancelled. For more than two years of listing at UPCoM, HVN was among the top five most traded stocks with an average of more than 800,000 shares traded per session, equivalent to value of 30.6 billion VND (based on the average HVN share price in 2018).
Officially operating as a joint stock company from April 1, 2015, Vietnam Airlines has maintained a strong growth rate with revenue and profit targets higher than the previous year.
In the first quarter of 2019, Vietnam Airlines made consolidated revenue of nearly 26 trillion VND (almost 1.12 billion USD) and consolidated pre-tax profit of nearly 1.58 trillion VND (67.94 million USD), equal to 45 percent of the 2019 plan.