Twenty-two companies saw their value enhanced after the trading week, another 11 suffered losses, and the remaining two stayed put.
In the March 27-31 trading week, the index grew 47.5 points with all 35 listed firms enjoying increases.
Two companies that stayed stable were Binh Trieu Mechanical Company (BTC), at a share price of VND14,000, and cashew nut processing firm Lafooco, at VND26,000.
Of the gainers, Petrolimex Mechanical Joint Stock Company (PMS) led with 26.75 per cent growth to a share price of VND30,800. The Saigon Hotel followed closely as it strengthened 26.55 per cent, to VND42,900. The smallest gain was registered by electrical wire and cable maker Taya Vietnam (TAYA) that closed at VND36,200 after a 0.28 per cent rise.
Saigon Securities Inc aims high
The joint stock Saigon Securities Inc, (SSI) among the three first securities companies operating on Viet Nam’s stock market, celebrated its sixth anniversary last Friday, announcing its plan to increase capital to VND300 billion (US$18.75 million).
The figure is impressive as it was established with only VND6 billion. Its current capital stands at VND120 billion.
ast year SSI netted a profit of VND25.3 billion, showing a net profit on equity capital ratio of 48.76 per cent. Its chairman Nguyen Duy Hung expects this year’s profit will go up to VND75 billion, basing his hope on the market development and his company’s wider network and improved service quality.
SSI manages around 62 per cent of foreign investor accounts. It also tops the brokerage market, 22 per cent for the transaction at the HCM City Securities Trading Center, and 52.74 per cent at the Ha Noi Securities Trading Center. It represented over 50 per cent of the market’s shares in custody. To date there are 14 securities companies.
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The Bach Tuyet Cotton Company (BBT) was hardest hit, falling 4.93 per cent to VND13,500, the lowest price among the listed firms.
The listed VietFund (VF1), enjoyed a 20.25 per cent leap, reaching VND29,100.
According to market analysts, the ‘so-called’ frozen real estate market and the rising price of gold have helped to draw attention to the stock market these days, apart from the country’s economic growth and improved investment environment.
Trading at the HCM City Securities Trading Centre
Almost 27 million securities changed hands last week, worth VND1.968 trillion ($123 million). Of the figures, shares represented over 14 million, worth VND863 billion, bonds accounted for 10.3 million worth over VND1 trillion, and VF1 certificates, the remaining 2.3 million, valued at VND61 billion.
Also from March 27-31, nearly 16 million securities were traded for VND985 billion (US$61.6 million). Of the figures, shares represented nine million securities and VND426 billion. Five million bonds were traded for almost VND516 billion and more than 1.8 million fund certificates transferred, worth over VND43 billion.
Vinamilk (VNM) topped the 35 companies in liquidity with a trade volume of more than 4 million shares, followed by the Refrigeration Electrical Engineering (REE) whose quantity stood at over 1.7 million stocks. Meanwhile TAYA represented the smallest turnover of 19,000 equities.
Foreign investors acquired more than 8.5 million securities, comprising 4.6 million bonds, more than 3.9 million shares, and 45,000 VF1 certificates, paying VND788 billion (almost $48.6 million). Their share portfolio covered most of the listed firms, however focusing on Vinamilk (over three million units), REE and the forwarder Gemadept (GMD).
Foreign investors also sold 4 million bonds and 626,000 shares in almost all companies but Vinamilk alone accounted for 126,000 units, and certificates, for VND441 billion ($27.5 million).
North Kinh Do (NKD) issues bonus shares for increasing capital
Shareholders of the confectioner North Kinh Do have agreed on the plan to issue bonus shares, thanks to its accumulated profits, to raise the company’s equity capital to VND84 billion ($5.25 million) from the current VND70 billion.
Under the plan which will be carried out in April and May, owners of every 5 shares will be eligible to receive one new share.
Additionally, NKD will issue shares to its employees aiming to attract more skilled people and ensuring employee loyalty. This five-year project will release each year no more than 1 per cent of the total ordinary shares.
At its recent annual meeting, shareholders also approved the financial investment plan with an initial amount of around VND30 billion to tap the ability of its professional investment team.
Last year NKD earned a net profit of almost VND34 billion, up 43 per cent from 2004’s figure. The increase came from higher turnover of VND355 billion, up 29 per cent from 2004, thanks to additional 2,500 retailers. It has 44 distributors and its products are available at more than 20,000 retail shops and trading centers.
Shareholders received 18 per cent dividends for 2005.
This year NKD targets 20 per cent growth for both turnover and profit. It is preparing for the merger with the confectioner Kinh Do Corp (KDC), also a member of the Kinh Do Group to enhance competitiveness. The two companies closed last week at VND91,000 and VND88,000, among the top prices on the board of the HCM City Securities Trading Centre. |
Source: Vietnam News
