The Vinacomin - Minerals Holding Corporation (VIMICO) will hold its initial public offering on April 23 on the Hanoi Stock Exchange (HNX).

The firm will offer nearly 46.7 million shares, equal to 23.34 percent of the firm, at a price of 10,500 VND.

Once the IPO completed, the state will hold a 75 percent of stake in the firm, and the employees will hold a 1.66 percent share.

By April 1, 2014, the Government had invested more than 2 trillion VND (92.6 million USD) in VIMICO. The firm's charter capital after the IPO is expected to reach exactly 2 trillion VND (92.6 million USD).

From 2011-14, VIMICO recorded revenues from 2.4 trillion-3.2 trillion VND (111 million-148 million USD), but its after-tax profits decreased from 227 billion VND (10.5 million USD) to 101 billion VND (4.67 million USD). Its return-on-equity (ROE) also fell from 15.2 percent to 6.9 percent.

From 2015-17, the firm expects to make a revenue of 4.32 trillion-5.84 trillion VND (200 million-270 million USD), and increase its after-tax profits from 55.3 billion VND to 106.7 billion VND (2.56 million-4.94 million USD). It also expects its ROE to rise from 3 percent to 6 percent. The firm also plans to pay dividends between 2 and 4 percent.

After the IPO, VIMICO will implement important projects in Lao Cai, including a 2.56 trillion VND (118.5 million USD) plan to expand and improve the capacity of the Sin Quyen copper mine in Bat Xat district, 3.95 trillion VND (182.8 million USD) to improve the capacity of its Lao Cai copper factory, and 594 billion VND (27.5 million USD) to build the Vi Kem copper mine in Bat Xat district.

VIMICO is a state-owned corporation that operates in mining and processing noble and precious metals such as gold, copper and silver using modern technologies to produce end products such as golden and copper sheets.

VIMICO has 14 subsidiaries which operate in mining and processing metals, running hotels and transportation companies, selling materials and equipment for mining business, and managing real-estate projects.

VIMICO also has four associate companies that buy and sell gold, silver and gemstones, produce and sell construction materials, and mine and process minerals.

VNA