Statistics of FiinGroup as of April 13 show that 54 listed companies plan to issue an additional 4.2 billion shares to mobilize nearly 44,700 billion VND through capital raising issuance in the near future. According to information from FiinGroup, in the first quarter of this year, the total value of capital mobilization through the issue of shares reached the highest level since the beginning of 2020. In the first quarter, 43 enterprises raised nearly VND 19,800 billion by issuance of more than 1.1 billion shares to existing shareholders, equivalent to nearly 70% of the issuance value of the whole year of 2020. This is the highest level in both volume and value of quarterly capital increase since the outbreak of COVID-19 in Vietnam.
FiinGroup said that the gradually controlled epidemic had reactivated the need to mobilize capital to expand production and business activities of many businesses and bring the debt / equity ratio to a safe level. The report forecasts that the value of capital mobilization through the issue of shares is expected to be 1.6 times higher than in 2020. According to the updated information announcements as of April 13, 54 listed companies plan to issue an additional 4.2 billion shares to mobilize nearly VND 44,700 billion through the issuance of capital increase in the near future, nearly fold. 1.6 times of the total value of the issue in 2020 and 2.3 times of the last quarter. The release to mobilize capital is a popular form, especially through the grant of right to buy to existing shareholders (with a total expected release value of VND 27,500 billion) and individual offering (VND 14,200 billion), FiinGroup said.
In the list of companies planning to raise capital of FiinGroup shows that Vietnam Aviation Corporation – JSC (Vietnam Airlines – Code: HVN) and Hoang Anh Gia Lai International Agriculture Joint Stock Company (HAGL Agrico – Ma : HNG) accounts for 1/3 of the total mobilized value through the issue of shares (expected).
Vietnam Airlines plans to raise VND 8,000 billion by issuing shares in the first half of 2021. If this issuance is successful, the debt to equity ratio of Vietnam Airlines will decrease from 6.2x to 5.2x.
Following Vietnam Airlines: Next is HAGL Agrico with the total expected issuance value of VND 7,400 billion (including VND 5,500 billion for debt swap and VND 1,900 billion to supplement operating capital)
FiinGroup said that with the group of securities companies, in the context of high market liquidity, leading to a “stretch” of margin, many securities companies are raising capital to supplement money for their operations. This margin trading action.
In which, VNDirect Securities JSC plans to issue 220.4 million shares, equivalent to the value of more than 2,200 billion VND if calculated at par value.
Next is Ho Chi Minh Securities Corporation (Ticker: HCM) with expected issuance value of VND 2,100 billion.
In the banking group, banks also plan to issue shares to increase capital size, in which the Joint Stock Commercial Bank for Investment and Development of Vietnam (BIDV) plans to issue 341 million shares privately, equivalent to 3,400 billion dong per par value.
Source: vietnambiz.vn – Translated by fintel.vn