Tuong An Vegetable Oil Joint Stock Company (TAC)’s shareholders on Friday approved the company’s plan to issue bonus shares from its reserves.

An extraordinary shareholders meeting in HCM City, which saw the participation of holders of nearly 18.3 million shares -- or nearly 100 per cent of all shareholders -- voted for a bonus issue in the ratio of seven shares for every 10 held.

Accordingly, 13 million new shares will be issued.

The meeting also approved issue of over 1.6 million shares to employees.

After the issues, the total number of shares will rise to nearly 33.88 million.

The shares to be issued to employees will be priced at VND27,000. They will have a 12-month lock-in period during which they cannot be sold.

Earlier food producer Kido Group (KDC) had bought over 12 million shares of TAC, representing a 65 per cent stake.

KDC director Tran Le Nguyen is now the chairman of TAC.

In the last five years TAC has consistently reported profits of over VND63 billion ($2.7 million).

TAC shares closed on Friday at VNĐ67,900 in HCM City. — VNS