On March 7, Vissan off-loaded all of its over 11.3 million shares, or 14 per cent stake, with the IPO, earning more than VND900 billion (US$40.1 million) in total. — Photo cafebiz.vn

HA NOI (Biz Hub) — The local market has seen some of the most attractive shares offered in initial public offerings (IPOs) in March.

Since the beginning of this year, 20 local companies have launched their IPOs.

In particular, the shares of well-known companies with good growth potential, such as the Viet Nam Meat Industries Limited Company (Vissan) and Cholimex in the food industry, attracted many investors on the HCM Stock Exchange (HoSE).

On March 7, Vissan off-loaded all of its over 11.3 million shares, or 14 per cent stake, with the IPO, earning more than VND900 billion (US$40.1 million) in total.

Based in HCM City, Vissan is one of the leaders in the food market, especially in the sectors of fresh meat and processed foodstuff.

The selling price per share more than quadrupled the starting price of VND17,000 each. Vissan received subscribers asking for up to 63.6 million shares, more than five times the number of shares released in the IPO. After the IPO, the State still held a 65 per cent stake in Vissan as its major shareholder.

Three days earlier, local chili sauce manufacturer Cholimex Food Joint Stock Company offered more than 21.58 million shares, equivalent to a 25 per cent stake, in its IPO.

Cholimex then sold less than 14 million shares, or 64 per cent of the offering, at VND10,000 per share, earning a total of VND138 billion ($6.1 million).

After the IPO, the State still held 49 per cent of the charter capital in the company. Cholimex will sell a 1.15 per cent stake to employees and 24.9 per cent to strategic investors.

In the textiles sector, Gia Dinh Textiles and Garments one-member limited company (GIDITEXCO) will offer 15 million shares in its IPO on HoSE on March 18 at the starting price of VND10,200 each.

Based in HCM City, the State-owned GIDITEXCO specialises in production and the import and export of products, machinery and equipment for the textile and garment industry. The company, which has two subsidiaries and 12 joint ventures in Viet Nam, is estimated to have charter capital of more than VND627 billion ($27.9 million) after equitisation.

According to data from the two bourses, other IPOs will also take place this month, including offerings from the Viet Nam Rubber Group, Nha Trang Vaccines and Biologicals Company, Tin Nghia Corporation and Viet Nam Book Company.

According to the Electricity of Viet Nam group, it will release IPOs for the Power Generation Corporation 3 (Genco 3), the largest — in terms of capacity — of the three Gencos in March. — VNS