Hau Giang Pharmacy to remove foreign-ownership limitations

Monday, Jul 17, 2017 11:58

Employees are entering Hau Giang Pharmaceutical Joint Stock Company (DHG)’s headquarter based in the southern province of Can Tho. — Photo baodautu.vn

Hau Giang Pharmaceutical Joint Stock Company (DHG) plans to raise its foreign ownership ratio cap from 49 per cent to 100 per cent, DHG leaders on Thursday released in minutes of the company’s extraordinary shareholders meeting for 2017.

According to the Board of Directors, the removal of limitation on the foreign ownership cap aims to attract more foreign capital, facilitating the circulation of DHG shares on the stock market and diversifying shareholder structure, contributing to the development of the company.

DHG approved increasing its foreign ownership limit to 49 per cent at the company’s annual general meeting on April 18.

In response to questions from shareholders about the State Capital Investment Corporation (SCIC)’s intention to divest capital from DHG, deputy general director Hoang Nguyen Hoc, on behalf of SCIC, said SCIC has no plans to divest capital within the next two or three years.

SCIC is currently DHG’s largest shareholder, holding 43.31 per cent of the company’s capital, followed by Taisho Pharmaceutical Co with 24.5 per cent.

DHG’s share price is showing signs of reducing following a surge at the beginning of this year. Currently, DHG’s share price has dropped more than 11 per cent since its peak recorded on June 16.

Foreigners have sold net nearly one million DHG shares since the beginning of the year, equivalent to net sell value of VND111 billion (US$4.8 million). — VNS

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