An auction of Vinatex shares at the Ha Noi Stock Exchange. The group would offer initial shares in 2017. — VNA/VNS Photo Tuan Anh

HA NOI (Biz Hub)  — The first shareholder meeting of the Viet Nam National Textile and Garment Group (Vinatex), which is preparing to operate as a joint-stock company, was held on Thursday.

During the meeting, Le Tien Truong, general director of Vinatex and the representative of State capital in the group, announced that the firm would offer initial shares in 2017.

The group also appointed people to the management board. Among seven members of the board, four are representatives of the State capital, while the other three are property giant Vingroup's (VIC) Le Khac Hiep as vice chairman, VID Group's Le Dinh Ngoc and VinaCapital's Don Lam.

Meanwhile, Deputy Minister of Industry and Trade Ho Thi Kim Thoa said that by the end of this year, the group would fully divest from 37 subsidiaries, while increasing investment in some of the member companies.

Last year, Vinatex's revenue hit VND51 trillion ($2.3 billion), rising 13 per cent compared to 2013. It has received enough orders for the first half of this year.

From 2015 to 2017, Vinatex aims to earn revenues of VND1.26 trillion (US$59.1 million), VND2.68 trillion ($125 million) and more than VND3.65 trillion ($171 million); and net profits of VND288 billion, VND343 billion and VND412 billion respectively.

Vinatex has been equitised at a time when the textile and garment industry faces an influx of both opportunities and challenges, with free-trade agreements involving South Korea, the Russia-Belarus-Kazakhstan Customs Union and the Trans-Pacific Partnership (TPP).

In September, investors purchased more than 90 per cent of its initial public offering, nearly half of which were bought by foreign investors. — VNS