HÀ NỘI — Việt Nam Textile Research Institute (VTRI) will sell over 2.26 million shares, accounting for 45.25 per cent of its charter capital, in its initial public offering (IPO) on March 12.

The shares will be listed on the Hà Nội Stock Exchange (HNX), with the initial price of VNĐ12, 583 (55 US cents) for each share. VTRI expects to receive more than VNĐ28 billion from the IPO.

Domestic and foreign organisations and individuals, who meet the conditions prescribed in Article 6 of the Government’s Decree No. 59/2011/NĐ-CP dated July 18, 2011, on transformation of enterprises with 100 per cent State capital into joint stock companies, can participate in the auction.

The registration and fee deposit timing is from 8.30am February 3 to 3.30pm March 5. The deadline for submission of auction tickets is 4pm on March 8.

As for its business result, VTRI posted a revenue of VNĐ57 billion last year, down 25 per cent compared to the average revenue of the previous three years. Its profit was VNĐ761 million, down nearly double that of 2016. Total assets of the institute at the end of 2017 was worth VNĐ41 billion.

In terms of land, VTRI is managing and using plots of land at 478 Minh Khai Street, Hà Nội with an area of nearly 2,851sq.m; at 454/24 Minh Khai Street with an area of 5,311sq.m; and at 354/128A Trần Hưng Đạo Street, District 1, HCM City with an area of nearly 2,220sq.m.

According to the results of the enterprise’s appraisal, the actual value of VTRI for equitisation is VNĐ72.8 billion, of which State’s capital is VNĐ51 billion.

Under the equitisation plan, VTRI will offer 2.26 million shares, corresponding to 45.26 per cent of charter capital for strategic investors. The remaining 474,000 shares will be offered to employees. — VNS