PetroVietnam Southern Gas to offload its shares in CNG
PetroVietnam Southern Gas (PGS) approved the divestment of its 14.9 million shares, a 55.2% stake, in natural gas producer CNG Vietnam Joint Stock Company (CNG) on January 27.
PGS said the divestment would be completed before the end of April under an agreement or suitable transactions. Buyers must purchase at least 25% of the stake, or 6.75 million shares.
Investors must show a balance in their financial statements at the end of 2015 of at least the amount due for the share purchase.
If the amount is calculated on January 27, when each of the CNG shares closed at VND32,200(US$1.4), the investors must have at least VND217.3 billion (US$9.67 million) if they want to bid on the shares from PGS.
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On February 4, CNG is expected to pay a 15% dividend in cash, with each share worth VND1,500. Thus, PGS will receive more than VND22 billion (more than US$1 million) in dividends from CNG before the divestment.
The consolidated financial statements of PGS reveal that its investment in CNG was VND149 billion (US$6.6 million). Calculated on January 27, the deal was worth some VND479.7 billion (US$21.36 million).
Besides PGS, two foreign investors in CNG are Utilico Emerging Markets Limited and Halley Sicav - Asian Prosperity Halley, holding a 20.07%.
CNG was established in 2007 in the southern province of Ba Ria-Vung Tau and is specialised in producing, transporting and distributing compressed natural gas, which is utilised by plants using thermal energy during production and processing; apartment buildings; and the transportation industry, as a replacement for petroleum.
It earned a revenue of VND950 billion (US$42.3 million) and profit before tax of VND145.2 billion (US$6.46 million) in 2015.
