Another record stock listing underway in Vietnam

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Vinhomes’ iconic Central Park development in Ho Chi Minh City

The residential property division of Vietnamese conglomerate Vingroup, Vinhomes, launched an equity issue of up to $1.4 billion on April 30, making it the country’s biggest-ever IPO, with a lot of interest from global and local funds, Reuters reported.

The issue eclipsed a recent equity offering from VietnamTechnological and Commercial Joint Stock Bank, which was priced at the top-end of an indicative range and raised roughly $922 million last week.

Shares of Vinhomes are being marketed in a range of 110,500 to 114,700 dong per share ($4.85 to $5), implying a market value of between $13 billion and $13.5 billion for the company, which is betting on an increase in home sales in one of Southeast Asia’s fastest growing economies, the term sheet showed.

The IPO comes at a time when Vietnam’s markets have dropped as much as 15 per cent from record highs hit earlier this month, but analysts view the correction to be short-lived.

Vinhomes says it is the dominant player in the high-end property segment in Hanoi and Ho Chi Minh City, with a 48 per cent market share and an overall market share of 15 per cent across all residential segments.

Local and global investors have agreed to take in about three-quarters of the initial equity offering, underscoring huge support for the issue, the term sheet showed.

Earlier this month, Singapore wealth fund GIC came in as a pre-IPO investor and took a roughly seven -per cent stake for about $853 million by buying shares from Vingroup and other shareholders.

Vinhomes’ IPO, which will be listed on the Ho Chi Minh Stock Exchange, will rank the company among the biggest listed local firms.

Roadshows for the issue kicked off in Hong Kong on April 30, followed by London, New York, Singapore and Boston, the term sheet showed. The shares are set to be priced on May 7 and expected to be listed on May 17.

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Reading Time: 2 minutes

Reading Time: 2 minutes

Vinhomes’ iconic Central Park development in Ho Chi Minh City

The residential property division of Vietnamese conglomerate Vingroup, Vinhomes, launched an equity issue of up to $1.4 billion on April 30, making it the country’s biggest-ever IPO, with a lot of interest from global and local funds, Reuters reported.

The issue eclipsed a recent equity offering from VietnamTechnological and Commercial Joint Stock Bank, which was priced at the top-end of an indicative range and raised roughly $922 million last week.

Shares of Vinhomes are being marketed in a range of 110,500 to 114,700 dong per share ($4.85 to $5), implying a market value of between $13 billion and $13.5 billion for the company, which is betting on an increase in home sales in one of Southeast Asia’s fastest growing economies, the term sheet showed.

The IPO comes at a time when Vietnam’s markets have dropped as much as 15 per cent from record highs hit earlier this month, but analysts view the correction to be short-lived.

Vinhomes says it is the dominant player in the high-end property segment in Hanoi and Ho Chi Minh City, with a 48 per cent market share and an overall market share of 15 per cent across all residential segments.

Local and global investors have agreed to take in about three-quarters of the initial equity offering, underscoring huge support for the issue, the term sheet showed.

Earlier this month, Singapore wealth fund GIC came in as a pre-IPO investor and took a roughly seven -per cent stake for about $853 million by buying shares from Vingroup and other shareholders.

Vinhomes’ IPO, which will be listed on the Ho Chi Minh Stock Exchange, will rank the company among the biggest listed local firms.

Roadshows for the issue kicked off in Hong Kong on April 30, followed by London, New York, Singapore and Boston, the term sheet showed. The shares are set to be priced on May 7 and expected to be listed on May 17.

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