[VIETNAM] Tay Ninh Rubber Co. Raised $35.6M in IPO
- Vietnam rubber firm raises $35.6 mln in IPO
HANOI, Dec 18 (Reuters) - Vietnam's Tay Ninh Rubber Co. has raised
573.22 billion dong ($35.6 million) from an auction of nearly 8.4
million shares, the Ho Chi Minh City stock market said.
Tay Ninh Rubber Co. sold the state shares on offer, or 27.96 percent
of its stock, at an average price of 68,341 dong ($4.25) at its
initial public offering last Thursday, the exchange said in a
statement seen on Monday.
The pricing gave the firm an initial market value of $127.5 million
after the auction in which 103 institutional and nearly 1,600
individual investors sought to buy nearly seven times more shares
than were on offer.
Foreign investors bought more than 2.85 million shares, or 34 percent
of those sold. The firm has yet to announce a listing plan. None of
Vietnam's 60 rubber producers has listed so far.
Natural rubber is Vietnam's second-largest foreign exchange earning
farm product after rice. Rubber exports surged 76.5 percent in
January-November to $1.21 billion, government figures show.
Vietnam, the world's fourth-largest rubber exporter after Thailand,
Indonesia and Malaysia, aims to expand its rubber area to 550,000
hectares (1.36 million acres) by 2010 -- including 50,000 hectares in
Laos -- from 480,000 hectares now. ADVERTISEMENT
The government has been accelerating privatisations to boost the
capital market and plans to retain full ownership or major stakes
only in industries linked closely to national defence and security.
Between Dec. 20-29, 29 firms are scheduled to make their debut in Ho
Chi Minh City and nine more have permission to list but have not
announced dates. ($1=16,096 dong)