Dragon Capital sold 1.7 million shares of PNJ
Dragon Capital sold 1.7 million shares of PNJ
On May 27, Dragon Capital sold over 1.74 million shares of Phu Nhuan Jewelry JSC (PNJ), decreasing its ownership from 9.15 to 8.1 per cent, equivalent to 13.5 million PNJ shares.
After the deal, Dragon Capital holds 13.5 million PNJ shares, equal to about VND1.4 trillion ($60.87 million).
In the deal, DC Developing Markets Strategies PLC sold 750,000 shares, KB Vietnam Focus Balanced Fund sold 640,000, and Hanoi Investments Holdings Limited sold 350,160 shares of PNJ.
On May 27, PNJ share at the price of VND106,000 ($4.6). Therefore, Dragon Capital collected about VND184 billion ($8 million).
However, this was only a transaction between foreign investors as the foreign ownership ratio at PNJ remains 49 per cent.
Dragon Capital sold the shares as PNJ is preparing to close the list of shareholders on June 6 to exercise the right to receive bonus shares at the ratio of 3:1, thereby increasing its charter capital to VND2.227 trillion ($96.8 million).
In 2019, PNJ plans to reach a net revenue of nearly VND18.21 trillion ($791.65 million), up 25 per cent. The after-tax profit target is nearly VND1.12 trillion ($51.39 million), 23 per cent higher than the previous year’s result. If PNJ successfully reaches its plan for 2019, it will for the first time break the VND1 trillion ($43.48 million) threshold in after-tax profit.
The company aims to develop a minimum of 40 new independent stores, modern trade centres, and supermarkets, developing the new PNJ Next store model, and incorporating e-commerce to create a multi-channel sales model (omni chanel).
At the end of the first quarter of 2019, PNJ reported a 16 per cent increase in net revenue with VND4.784 trillion ($208 million), pre-tax profit of over VND543 billion ($23.6 million), up 29 per cent, completing 37 per cent of the annual plan. After-tax profit increased by 27.5 per cent and reached VND428.7 billion ($18.64 million).
