VietNamNet Bridge - The companies in the aviation sector, which have large investment capital and enjoy business advantages, have always been eyed by big investors.

The fact that the Airports Corporation of Vietnam (ACV) puts 77.8 million shares into auction slated for December 10 has drawn the investors’ attention. With the chartered capital of VND22.431 trillion, ACV is one of the companies with the biggest capitalization value in the aviation sector.

After the equitization, the state will hold 75 percent of capital in ACV, while the other 20 percent, or 448.6 million shares, will be sold to strategic shareholders. Of the remaining 5 percent, 3.47 percent, or 77.8 million shares will be sold to the public, while the other to the corporation’s workers.

The starting price of ACV shares, set at VND11,800 per share, is described by securities experts as ‘attractive’, because ACV is the key company in the aviation sector with large operation scale.

The corporation now exploits 22 airports, including 7 international and 15 domestic ones. In 2014, it reported the total revenue of VND10.569 trillion and the post tax profit of VND2.437 trillion. 

The experts have every reason in the attractiveness of ACV, because two of its subsidiaries – SASCO and SAGS (Saigon Ground Services) – gained satisfactory results at their IPOs (initial public offering) in 2014.

Meanwhile, the strategic shareholders of the two companies are all the ‘big guys’ in their fields. SASCO’s strategic shareholder, who holds 23.6 percent of stakes - Le Hong Thuy Tien - is the wife of Jonathan Hanh Nguyen, one of the Vietnam's most influential businessmen.

Meanwhile, the strategic shareholders in SAGS are well-known names – the Saigon Securities Incorporated (SSI) and Hoan Loc Viet Investment and Trade JSC.

The shares of the companies which provide infrastructure and aviation services listed on UpCom and HOSE markets have also been hunted.

The Noi Bai Cargo (NCT), Masco (MAS), Arimex and Aviprint (IHK), for example, have seen the share prices increasing by 20-120 percent over the last 10 months.

Investors have also been casting their eyes on air carriers, especially Vietnam Airlines and Vietjet Air. The former’s IPO was reported as ‘successful’ with the great interests from commercial banks.

Meanwhile, Vietjet Air has become a ‘hot spot’ as it has announced it will hold an IPO later this year.

Luu Duc Khanh, Vietjet’s managing director, once told the local press that the air carrier planned to mobilize $800 million through the IPO.

However, Vietjet’s deputy CEO Nguyen Thi Thuy Binh has said the figure could be even higher.

The director of a foreign investment fund said Vietjet is one of five Vietnamese important companies for the fund. Vietjet has asked for the concession to exploit Phu Quoc Airport.

VNE