Hanoi Railway to launch IPO on December 10
Hanoi Railway to launch IPO on December 10
Ha Noi Railway Transport Company Limited (HRT) will launch its initial public offering at the Hanoi Stock Exchange on December 10.
According to the equitisation plan, the company's registered capital is estimated to be VND800.5 billion (US$35.66 million), equivalent to more than 80 million shares. About 11.3 million shares, or 14.2 per cent of the registered capital, will be sold at the IPO.
HRT, a member of the Vietnam Railway, is one of the key goods and passenger carriers of the country, operating on routes such as Ha Noi to Hai Phong, Lao Cai, Dong Dang and Ha Long, besides Vinh and HCM City.
The company has more than 594 passenger cars, of which 363 have air conditioners, as well as warehouses and workshops. All facilities meet the required standards for loading and unloading cargo and goods maintenance.
The company earned VND1.58 trillion ($70.38 million) to VND2.7 trillion ($120.27 million) in revenue every year from 2012 to 2014.
Under the equitisation plan, the state will continue to hold 60 per cent of the company's registered capital. The remaining shares — more than 11.3 million — will be offered to strategic investors, while 9.2 million shares will be for workers.
HRT aims to participate in the stock market soon, with an expected dividend rate of 0.75 per cent for its shareholders.
