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Listed companies starve shareholders of transparency

Update: December, 25/2013 - 08:32
According to statistics released by Vietstock, only 29 out of 694 listed companies on both national stock exchanges took the initiative to distribute compulsory information to investors, as required by the Circular 52/2012/TT-BTC of the State Securities Commision about information publication on stock exchanges.— Photo vietstock

HA NOI (VNS)— The transparency level of listed companies on the nation's stock exchanges remains weak, as most do not release company information to their shareholders.

According to statistics released by Vietstock, only 29 out of 694 listed companies on both national stock exchanges took the initiative to distribute compulsory information to investors, as required by the Circular 52/2012/TT-BTC of the State Securities Commision about information publication on stock exchanges.

Those releasing information were mainly HCM City-listed companies, as opposed to only four listed on the Ha Noi Exchange.

Real estate companies topped the list, with four companies releasing information, including Binh Chanh Construction Investment (BCI), Ba Ria-Vung Tau Housing Development (HDC), Technical Infrastructure Development (IJC) and real estate giant Vingroup (VIC).

The list of companies complying with regulations on publishing information also included three banks, including Vietinbank (CTG), Eximbank (EIB) and Military Bank (MBB), as well as three retail companies, Ben Thanh Trade and Services (BTT), Cu Chi Trade and Industry Development Investment (CCI) and Sai Gon General Services Corporation (SVC).

The remaining 95 per cent of listed companies were found to have not released information. Experts noted that the numbers indicated that many listed companies are not properly serving their investors, which might cause their stocks to be undervalued.

Experts urged listed companies to pay attention to investor relations (IR), which would help ensure transparency and the rights of shareholders, while enhancing companies' images in investors' eyes. — VNS

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