|Customers check in at a counter in Terminal 1's Hall A at Noi Bai International Airport. — VNS Photo Viet Thanh
HA NOI (VNS) — Airports Corporation of Viet Nam (ACV) yesterday organised a road show in Ha Noi to introduce to investors its operations and plans before launching the initial public offering on December 10.
This is one of the most eagerly awaited IPOs this year given its pivotal role in the aviation industry as well as its growing potential.
A seminar organised by the ACV attracted about 300 institutional and individual investors.
The ACV is one of the country's biggest State-run enterprises with registered capital of more than VND22.43 trillion (US$1 billion). Along with national flag carrier Vietnam Airlines and Vietnam Air Traffic Management, ACV is a key business partner in the aviation industry when managing 22 international and domestic airports nationwide.
The corporation is seeking to sell a 3.47 per cent stake, equivalent to over 78 million shares, to the public at the initial offering price of VND11,800 (53 cents) a share.
After the IPO, the government will hold 75 per cent of ACV's charter capital while a one-fifth stake is for a yet-to-be decided strategic investor. The remaining 1.53 per cent will be offered to employees and the trade union.
"The ACV is a well-known brand in the domestic and foreign markets. The corporation is globally integrated and has enjoyed advantageous business conditions," Deputy Minister of Transport Nguyen Nhat said.
Viet Nam's aviation industry was among the fast growing markets in the world from 2001 to 2014 with average growth of 16.6 per cent in passenger traffic and 15 per cent in freight per year. This impressive growth has extended in nine months of this year with 46.6 million passengers, up 22.3 per cent year-on-year.
According to the International Air Transport Association, Viet Nam's industry will grow about 7.3 per cent in passenger traffic between 2014 and 2034, higher than the global average growth of 4.6 per cent and Asia Pacific of 5.7 per cent. — VNS