Vietnam Medicinal Materials JSC to list next week

Vietnam Medicinal Materials JSC, which recorded an all-time high net profit of over VND50 billion ($2.1 million) last year - 2.3 times higher than the same period in 2020, will list on the Hanoi Stock Exchange on July 19.

The company's average annual profit growth rate has climbed at a double-digit rate since its GMP-WHO factory entered operation in 2018.

The company (VIETMEC) reported a record revenue of VND1,049 billion ($44.9 million) in 2021, a 24% rise year-on-year.

Its total assets increased to more than VND1,000 billion ($42.76 million) by the end of 2021 from VND820.8 billion.

In the first quarter of this year, VIETMEC's revenue and after-tax profit hit VND206.6 billion ($8.83 million) and VND13 billion ($556,000) respectively, down 2.8% and up 18% year-on-year.

DVM's board of directors set a target of over VND1,119 billion ($47.85 million) in revenue and VND65 billion ($2.78 million) in pre-tax profit in 2022.

A total 35.65 million shares will be listed on the Hanoi bourse as DVM on July 19 with the reference price of VND18,000 per share, equivalent to VND641.7 billion ($27.44 million) in market capitalization. The first-day trading margin could hit 30%.

On May 9, DVM completed an intial public offering with 8.65 million shares or 100% sold successfully at the price of VND18,000 per share. On May 18, DVM officially became a public company.

The company, formerly known as Dong Han Pharmaceutical JSC, registered its business in 2011 with an initial charter capital of VND3.1 billion ($132,000).

After 11 years of operation and nine chartered capital hikes, DVM's current charter capital stands at VND356.5 billion ($15.2 million). As of May 26, 2022, DVM has 221 shareholders, of which domestic individual shareholders total 220 with 98.5% ownership and one domestic organization accounting for 1.5%.

It operates mainly in the fields of pharmaceutical production and trading; cultivation and processing of medicinal herbs; functional food business; wholesale of medical machinery, equipment and instruments; wholesale of perfumes, cosmetics and hygiene products; retailing medical instruments, cosmetics, hygiene products in specialized stores.

DVM is supplying pharmaceuticals to many hospitals and businesses in the health industry like Quang Nam General Hospital, Ha Tinh Province General Hospital, and Phu Tho Province General Hospital.

By the end of November 2021, Tran Binh Duyen, DVM's chairman and deputy general director held 500,000 company shares.

Vu Thanh Trung acts as general director and legal representative of DVM. Trung started in sales at Mediplantex Central Pharmaceutical JSC. Seven years later, he became general director of Vietnam Medicinal Materials JSC.