VietNamNet Bridge - Vietnam Airlines, at its first shareholders' meeting scheduled to take place in March, will announce that it will sell more than 282 million individual shares (equivalent to 20% of charter capital) to no more than three investors.



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The selling price will be determined on the basis of commitments of strategic investors, but will not be less than VND22,300 per share (determined for the IPO). Vietnam Airlines can earn nearly VND6.3 trillion from this issuance. The capital will be used for investment in the fleet.

The company has not finalized the list of potential strategic partners, the airlines’ report said.

The investment capital in 2015 is approximately VND23 trillion, an increase of nearly 2.5 times over the disbursed investment in 2014. Of this, investment in the fleet is about VND21.2 trillion.

In 2015, the company will receive 12 new aircraft, including three A321, four A350, and five B787-9, return two A330s, and sell three ATR-72 and two B777- 200ER. If the plan succeeds, by the end of 2015, the airline will have 80 aircraft.

Also at the meeting, Vietnam Airlines will approve the production plan in 2015 and and goals for the period 2015-2018.

Accordingly, the airline targets serving approximately 16.7 million passengers, up 6.2% over 2014, and earning total revenue of over VND70 trillion, lower than the previous year's by 2.5%, of which the parent company will earn nearly VND55 trillion, equivalent to 2014.

Vietnam Airlines explained that revenue in 2015 will be lower than 2014 because fuel surcharges on ticket prices will decrease as fuel costs have declined.

The company expects to earn VND613.5 billion of consolidated profit before tax, 5% lower than 2014. However, the profits of the parent company are estimated to reach VND180 billion, up 11% compared to 2014.

Last November, Vietnam Airlines auctioned and sold 49 million shares (3.475% of the charter capital). Prior to that, 20.8 million preferential shares to employees (1.475%) and 705,092 preferential shares sold to the trade unions (0.05%) were sold.

Na Son