Vietnam’s Petrolimex Joint Stock Insurance Co., the insurance entity of Vietnam's leading oil product importer, Vietnam National Petroleum Corporation, or Petrolimex, will shortly float a initial public offering stock option on the government’s public exchange.
Petrolimex is Vietnam’s second largest state-owned firm in terms of revenue. Seeking to expand its working capital, Petrolimex Joint Stock Insurance Co. has tentatively scheduled its IPO stock option for 28 July at Hanoi’s Ho Chi Minh Stock Exchange (HNX).
Petrolimex Joint Stock Insurance Co.’s IPO share offering is intended to boost the company’s charter capital, of which the Vietnamese government retains more than 75 percent.
Petrolimex Joint Stock Insurance Co. intends to auction more than 27.4 million shares to the public with an initial share price of 15,000 Vietnamese dong, or 73¢ at the current exchange rate.
Petrolimex Joint Stock Insurance Co., also known as Pjico, is based in the capital Hanoi and is currently owned by eight investors including Petrolimex, Vietcombank, Vietnam Steel Corp. and Vietnam National Reinsurance Corp. and in 2010 had an 8 percent overall share of Vietnam's insurance premiums market.
Parent company Petrolimex has ambitious expansion designs, having recently unveiled plans to build a 200,000 barrel per day oil refinery complex in the country's central region at a cost estimated at over $4.4 billion.
By. Charles Kennedy, Deputy Editor OilPrice.com
Charles is a writer for Oilprice.com