National carrier Vietnam Airlines has made its domestic stock debut in early May 2019, valuing the firm at USD 2.5 billion, a key milestone in opening up for more investment.
The first trading session in more than 1.4 billion Vietnam Airlines shares (code HVN) took place on May 7 on the Ho Chi Minh Stock Exchange (HOSE), with a reference price of VND 40,600 dong each.
“With the debut today, Vietnam Airlines has become the largest enterprise to list on HOSE this year and also one of the two companies listed among the 19 groups and corporations in which the Commission for the Management of State Capital at Enterprises represent the state interest,” said Nguyen Hoang Anh, Chairman of the Commission. “This is a result from the enhanced strategic vision that has been laid out and implemented by the Vietnam Airlines’ Board of Directors. From our perspective, Vietnam Airlines’ state capital has proved to be an effective investment that provides exceptional benefits to the state, shareholders and employees.”
During the more than two years of earlier listing on the UPCoM exchange, HVN had joined a group of stocks with the best liquidity and also been among the top 5 most traded shares, with more than 800,000 shares changing hands in average each session, or a trading value of about VND 30.6 billion (based on the average HVN share price in 2018).
The high liquidity shows investors’ interest and expectations for the carrier’s business results and development potentials.
“The listing on HOSE marks an important milestone for Vietnam Airlines to futher leverage its legacy, standardize corporate operations and open up opportunities to attract investment,” said Pham Ngoc Minh, Chairman of Vietnam Airlines Board of Directors. “The debut has also reaffirmed our ongoing commitment to improving the liquidity of HVN shares and maximising shareholder value.”