|
Vietinbank to list for $1.20
Vietinbank shares will list on the HCM City Stock Exchange on Thursday at an opening price of VND50,000 (US$1.20) per share, the bank said on its website.
The bank will sell more than 120 million shares, representing a combined value of VND1.2 trillion ($67.4 million), under the code CTG. The figure is equivalent to 10.8 per cent of the bank’s charter capital – an increase over the 6 per cent stake the bank originally planned to list.
The bank’s management board also reportedly rejected the option of offering the shares at VND55,000.
"VND50,000 is a reasonable price for us to offer on the first day of listing, as it is based on the bank’s value and the present market situation relative to other listed bank’s prices, as well as on the suggestion of our listing underwriter," said Le Duc Tho, head of VietinBank’s investment department.
The subsequent rise or fall of share prices would depend on market forces and conditions, Tho said.
VietinBank made an initial public offering of 53.6 million shares last December, and the shares sold out an average price of VND20,265.
Dao Van Khanh, an analyst at a Ha Noi-based securities firm, also said that present market gloom could encourage investors to sell off VietinBank shares on the first day, due to the difference between the average winning price in the IPO and the much higher offering price at listing.
"But we should also count on foreign investors snapping up the sold-off shares, as their tactic is to focus on banking stocks," Khanh said.
Ban Viet Securities Co said the addition of VietinBank to the HCM City stock market on Thursday would increase the influence of banking shares on overall market trends.
vietnamnews
|
