Vietnam Machinery Erection Corporation (Lilama) will start trading 79.7 million shares on the Unlisted Public Company Market (UPCoM) from August 16, two years after its initial public offering in 2015.

The shares, to be traded under the code LLM, will have a reference price of VND15,000 (66 US cents) per share on the first trading day, the Ha Noi Stock Exchange announced.

Of the 79.7 million shares registered for trading, 20,800 ESOP shares (stocks offered to employees in an employee stock ownership plan) are subject to transfer restrictions.

Founded in 1960, Lilama used to be wholly owned by the construction ministry. The corporation was equitised in 2015, with 35.55 million shares being put up for sale, but only around one million shares were sold at VND10,362 per share.

Since April 2016, Lilama has been operating as a joint stock company. The construction ministry remains its biggest stakeholder, holding 97.88 per cent of its charter capital of VND887.2 billion as of April 26, 2017.

The heavy engineering company and its subsidiaries design, engineer, construct and install industrial plants in Viet Nam. They are also engaged in equipment, technology, tank, steel structure manufacturing, and undertake projects in the areas of thermal power, cement, ship-building and engineering.

Lilama’s main business is Engineering, Procurement and Construction (EPC) contract activities, which account for 80 per cent of its total turnover. It has 14 subsidiaries and six affiliate companies.

The company posted an after-tax profit of VND90 billion between April 6, 2016, and December 31, 2016. – VNS