SK Group plans to buy 1 billion USD worth of Vingroup shares

A Vincom Centre developed by Vincom Retail, a sub-unit of the real estate-technology-retail giant Vingroup. (Photo: VNA)

The investment could be made as early as April, Bloomberg said on March 22, citing the RoK’s Maeil Business Paper.

Vingroup has recently asked shareholders to approve its private issuance of 250 million shares to a maximum of five foreign institutional investors to raise at least 25 trillion VND (1.07 billion USD).

The capital raised from share issuance would be spent on developing technological and industrial sub-units (6 trillion VND), paying loans and interests (10 trillion VND), and providing extra fund for the parent firm and its subsidiaries (9 trillion VND).

Vingroup is now the largest listed company in Vietnam by market capitalisation, which reached 373.42 trillion VND at the end of March 22.

The company shares gained 1.4 percent to end March 22 at 118,600 VND per share.

In 2018, SK Group bought 110 million shares in the largest private equity consumer firm Masan Group for 11 trillion VND (470 million USD), becoming the largest foreign shareholder with a 9.5 percent stake.

RoK group operates in the fields of energy, telecommunication, high-tech components, logistics and services. It is present in more than 40 countries and territories, earning 141 billion USD in 2017.

VNA