Southern Food Corporation (Vinafood 2) will conduct its initial public offering (IPO) at the initial price of VND10,100 ($0.44) per share within the next three months.

At the end of 2016, Vinafood 2’s accumulated loss stood at VND798 billion

Deputy Prime Minister Vuong Dinh Hue signed Decision No.2133/QD-TTg on December 29, 2017 approving the equitisation plan of Vinafood 2 (VNF2). The company will offer 500 million shares with the starting price of VND10,000, bringing the offering’s initial value to VND5 trillion ($220 million). The offer will include:

255 thousand shares (51 per cent of charter capital) owned by the state

114,831,000 shares (22.97 per cent) will be auctioned publicly

4,969,000 shares (0.99 per cent) will be sold to employees

200,000 shares (25 per cent) will be sold to the corporation’s trade union

125 million shares (25 per cent) will be sold to strategic investors

The agency representing state ownership in Vinafood 2 is the Ministry of Agriculture and Rural Development (MARD). 

Thereby, the prime minister authorised MARD to make decisions and build criteria for selecting strategic investors according to the relevant regulations.

VIR