HCM City infrastructure firm to sell treasury shares
The Ho Chi Minh City Infrastructure Investment Joint Stock Company (CII) wants to offload 35.3 million treasury shares for at least 32,650 VND (1.40 USD) per share.
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| Vehicles travel on the Hanoi Highway in HCM City, one of the major infrastructure projects involving HCM City Infrastructure Investment JSC. (Photo: cafef.vn) |
The company expects to receive at least 1.15 trillion VND (49.5 million USD) from the deal. CII shares are listed on the Ho Chi Minh Stock Exchange (HoSE: CII) and dropped 1.2 percent to 20,050 VND per share on August 27.
The company bought treasury shares to help cushion its share price on the stock market.
According to the firm’s first-half financial report, the 35.5 million treasury shares are equal to 12 percent of the company’s charter capital.
Those shares were previously bought for 21,100 VND per share, making the total value 852 billion VND.
In the last two months, CII has raised 1 trillion VND by issuing bonds. The figure includes 800 billion VND worth of fixed-interest bonds (9.5 percent per year).
In the first half of 2018, CII earned 1 trillion VND in total revenue, down 35 percent year on year.
But financial income was up 67 percent yearly to 489 billion VND, helping CII increase its post-tax profit by 68 percent to 68 billion VND.
