HCM City infrastructure firm to sell treasury shares

Wednesday, Aug 28, 2019 07:59

Vehicles travel on the Ha Noi Highway in HCM City, one of the major infrastructure projects involving HCM City Infrastructure Investment JSC. — Photo cafef.vn

The HCM City Infrastructure Investment Joint Stock Company (CII) wants to offload 35.3 million treasury shares for at least VND32,650 (US$1.40) per share.

The company expects to receive at least VND1.15 trillion ($49.5 million) from the deal. CII shares are listed on the Ho Chi Minh Stock Exchange (HoSE: CII) and dropped 1.2 per cent yesterday to VND20,050 per share.

The company bought treasury shares to help cushion its share price on the stock market.

According to the firm’s first-half financial report, the 35.5 million treasury shares are equal to 12 per cent of the company’s charter capital.

Those shares were previously bought for VND21,100 per share, making the total value VND852 billion.

In the last two months, CII has raised VND1 trillion by issuing bonds. The figure includes VND800 billion worth of fixed-interest bonds (9.5 per cent per year).

In the first half of 2018, CII earned VND1 trillion in total revenue, down 35 per cent year on year.

But financial income was up 67 per cent yearly to VND489 billion, helping CII increase its post-tax profit by 68 per cent to VND68 billion. — VNS

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