Last update: 17:16 | 12/01/2018
F&N Dairy Investments Pte Ltd has registered to purchase 14.5 million shares in Vietnam Dairy Products JSC (Vinamilk) in a bid to raise its ownership in Vietnam’s largest dairy producer.
A worker (R) is seen at a dairy facility of Vinamilk in the southern province of Binh Duong. F&N Dairy Investments Pte Ltd has registered to purchase 14.5 million shares in the former
The company, which is under F&N Beverages Singapore and owned by Thai business tycoon Charoen Sirivadhanabhakdi, looks to buy 14.5 million shares of Vinamilk from January 10 to February 8, according to its report to the State Securities Commission of Vietnam, and the Hochiminh Stock Exchange.
With Vinamilk’s current market trading price at VND208,900 (US$9.16) per share, F&N Dairy Investments is expected to spend more than VND3,000 billion (US$131.7 million) to acquire the share volume. The move is to raise its stake in Vinamilk to 17.5% from the current 16.5%.
The company registered to purchase 21.77 million Vinamilk shares between December 8 and January 5, but only successfully picked up 1.97 million shares, a mere 9% of its total demand.
Last year, the company registered to buy a large amount of Vinamilk shares via a wide variety of methods such as put-through, matching, and open bidding transactions.
However, it could not buy all the shares that it had sought then because of unfavorable market conditions, and unsuccessful auctions.
F&N Dairy Investments is the largest foreign shareholders of Vinamilk, followed by Platinum Victory Pte Ltd, a wholly owned unit of Singapore-based Jardine Cycle and Carriage, which acquired a 3.33% stake in Vinamilk last November.