Standard Chartered PE sells 8.2% stake in Loc Troi Group, ending five-year investment

Tuesday, Jul 02, 2019 08:30

Standard Chartered Private Equity is expected to earn about VND153 billion (US$6.6 million) from the divestment from Loc Troi Group. — Photo

Standard Chartered Private Equity (Singapore) Pte Ltd (SCPE) sold its entire holding of nearly 6.6 million shares, or an 8.18 per cent stake, in Loc Troi Group, ending its five-year investment in the Vietnamese agricultural company.

Loc Troi Group’s shares (LTG) are trading around VND23,000 (nearly $1) per share on the Unlisted Public Company Market (UPCoM). The foreign fund is expected to earn about VND153 billion (US$6.6 million) from the divestment.

SCPE started investing in Loc Troi Group at the end of 2014, spending $90 million to purchase 21.5 million LTG shares, equivalent to more than 34 per cent of the firm’s capital. It sold nearly 17 million LTG shares, or 25.2 per cent, to Marina Viet Pte Ltd in 2016.

Contrasting with SCPE, Augusta Viet Pte Ltd bought nearly 4.6 million LTG shares, owning 5.71 per cent of the company. The deal was completed last week.

Four investors hold more than 61 per cent of Loc Troi Group’s capital, including Marina Viet (25.2 per cent), An Giang Provincial People's Committee (24.15 per cent), Kingsmead Vietnam and Indochina Growth Master Fund (6.02 per cent) and Augusta Viet.

The group has planned a 26 per cent increase in net profit this year to VND521 billion ($22.4 million). Earnings per share is expected at VND5,484.

It also decided to delay the shifting of shares to the Ho Chi Minh Stock Exchange to next year due to unfavourable business developments this year. — VNS

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