Investment corp. IPA targets 24% rise in 2024 pre-tax profits, plans rights offering
Vietnamese investment holding company I.P.A Investments Group JSC has set revenue and pre-tax profit targets of VND1.08 trillion ($42.43 million) and VND425 billion ($16.7 million) for 2024, up 211% and 24% year-on-year, respectively.
The targets were announced at the firm’s 2024 AGM held on Thursday.
The firm, featured on the Unlisted Public Company Market (UPCoM) as IPA, said it intended to issue 213.8 million shares at VND10,000 ($0.39) apiece through a rights offering in 2024 or 2025, subject to approval by the State Securities Commission.
IPA's board member Pham Minh Huong (left) answers shareholders' questions at the company's 2024 AGM, June 20, 2024. Photo courtesy of Cong Thuong (Trade Industry) newspaper.
IPA expects to earn VND2.31 trillion ($90.75 million) from the offering. It will use VND1.8 trillion ($70.71 million) of the proceeds to contribute capital to its subsidiaries and affiliates such as Post-Telecommunication Joint-Stock Insurance Corporation, I.P.A Securities Investment Fund Management Limited Company, IPA Technology Solution JSC, and Bac Ha Energy JSC.
This year, IPA will continue to develop its ecosystem to achieve long-term goals for its business pillars including environmentally-friendly product distributor IPAM Life, business solution provider IPA SMEs, financial service segment IPA Financial and infrastructure/renewables-focused IPA Green Investment.
Speaking of IPA’s acquisition of a 9.36% stake in Trung Nam Energy Development and Investment Corporation (Trung Nam EDI) for VND850 billion ($33.39 million) in Q1/2024, IPA board member Pham Minh Huong, also chairwoman of securities firm VnDirect, said that the company saw the deal an opportunity to expand further into renewable energy, a sector “of the future.”
Renewable energy has already been an income generator for IPA, enabling investments in other segments, Huong noted.
She also expressed confidence in Trung Nam EDI’s capacity to do well in the market.
On the company’s divestment of a 51.15% stake in South Can Tho Development and Investment JSC to Hai Phong Investment JSC, whose director Pham Thi Men is a former IPA accountant, IPA CEO Mai Huu Dat said it was a normal divestment/investment activity to mobilize capital for other projects.
Huong said that despite its substantial land fund, IPA has prioritized cash flow generating activities and was yet to invest in real estate.
To ensure shareholder benefits, IPA needed to wait for smoother legal conditions and identify promising investment opportunities, she stressed.
IPA chairman Vu Hien noted that real estate investment demanded significant time and capital, citing the example of two building projects in Hanoi and HCMC stuck in legal procedures. However, the firm will keep looking for suitable real estate investment opportunities, he added.
- Related News
- Read More
Thai restaurant industry grapples with crisis
The Thai restaurant industry is grappling with a severe crisis, and more than 600,000 establishments have shuttered their doors in the past three years.
Southeast Asia - Wed, September 25, 2024 | 10:36 pm GMT+7
Indonesia inaugurates two copper smelters
Indonesian President Joko Widodo recently inaugurated two big copper smelters which are expected to help the nation improve its global mining position.
Southeast Asia - Wed, September 25, 2024 | 10:35 pm GMT+7
Singapore’s population rises to historic high of 6.04 mln
As of June 2024, Singapore’s population reached 6.04 million, a 2% increase from last year, marking the first time the country’s population has exceeded six million.
Southeast Asia - Wed, September 25, 2024 | 10:30 pm GMT+7
Thai baht rises to strongest since March 2022
The Thai baht (THB) has gained to its strongest level in 30 months as China's stimulus boosted risk assets globally, adding pressure on the Bank of Thailand (BoT) to act to curb its rally.
Southeast Asia - Wed, September 25, 2024 | 10:26 pm GMT+7
HCMC Industry 4.0 center a sci-tech platform to advance national goals: PM
The Ho Chi Minh City-based Center for Industry 4.0 Revolution (C4IR), part of the World Economic Forum's global network, will contribute to Vietnam’s goal of industrialization and modernization based on scientific and technological advances, Prime Minister Pham Minh Chinh said Wednesday.
Economy - Wed, September 25, 2024 | 10:24 pm GMT+7
$67 bln trans-Vietnam high-speed railway likely to break ground in 2027
Vietnam hopes to break ground on the first two sections of a North-South high-speed railway route late 2027.
Economy - Wed, September 25, 2024 | 9:35 pm GMT+7
Changes in Vietnam IPOs will trigger stronger foreign capital inflows: JICA expert
Kojima Kazunobu, a consultant of the Japan International Cooperation Agency (JICA), offers insights into the appetite of foreign investors, including Japanese ones, on the Vietnamese stock market, including initial public offerings (IPOs).
Finance - Wed, September 25, 2024 | 5:51 pm GMT+7
Petrovietnam, US Kellogg Brown & Root, GE to cooperate in green fuel, digitalization
State-owned Petrovietnam will cooperate with American partners, Kellogg Brown & Root (KBR) and GE Digital International LLC under General Electric (GE), in digitalization and green fuels.
Companies - Wed, September 25, 2024 | 5:31 pm GMT+7
Vietnam’s Nutifood acquires 51% stake in ice cream maker Kido Foods
Vietnamese nutritional products maker Nutifood Nutrition Food JSC (Nutifood) has successfully acquired a 51% stake in Kido Frozen Food JSC (Kido Foods).
Companies - Wed, September 25, 2024 | 4:17 pm GMT+7
Commonwealth Bank of Australia sells 5% stake in Vietnamese bank VIB
The Commonwealth Bank of Australia (CBA), a multinational bank headquartered in Australia, is selling a 5% stake in Vietnam International Commercial Joint Stock Bank (VIB).
Banking - Wed, September 25, 2024 | 3:29 pm GMT+7
Dragon Capital-linked team no longer major shareholder of PV Drilling
A group of funds affiliated with Dragon Capital, among the largest foreign-run asset management companies in Vietnam, has reduced its holding to below 5% in PV Drilling, the drilling arm of state-owned Petrovietnam.
Finance - Wed, September 25, 2024 | 3:12 pm GMT+7
US tech firm Coherent to invest $83 mln in southern Vietnam industrial hub
Coherent Corp., an American manufacturer of optical materials and semiconductors, will invest $83 million through two subsidiaries in Dong Nai province, an industrial hub in Vietnam’s southern region.
Industries - Wed, September 25, 2024 | 3:00 pm GMT+7
Malaysian currency jumps to 34-month high against USD
The Malaysian ringgit (MYR) jumped against the USD at the close on Tuesday, reaching its highest level in 34 months after China unveiled a stimulus package aimed at revitalizing its economy.
Southeast Asia - Wed, September 25, 2024 | 11:30 am GMT+7
Singapore bank UOB trims Vietnam’s 2024 growth forecast to 5.9% on typhoon Yagi
Singapore-based United Overseas Bank (UOB) has revised down its GDP growth forecast for Vietnam by 0.1 percentage point to 5.9% this year due to the damage caused by super typhoon Yagi.
Economy - Wed, September 25, 2024 | 10:50 am GMT+7
ADB maintains Vietnam GDP growth projection at 6% for 2024 despite super typhoon Yagi
Vietnam’s economic growth can reach 6% in 2024 and 6.2% in 2025, following a 6.4% expansion in the first half of the year, according to the Asian Development Bank (ADB).
Economy - Wed, September 25, 2024 | 10:29 am GMT+7
Vietnam a bright spot in global economy: IMF leader
Vietnam and ASEAN are bright spots in the global economy, particularly during the tough times when the global economy is hit by a series of shocks, says the International Monetary Fund’s (IMF) managing director Kristalina Georgieva.
Economy - Wed, September 25, 2024 | 9:26 am GMT+7
