Sabeco’s shares are announced to have offer price at US$14.1 each as its auction session looms

By Trung Ngoc - Nov 29, 2017 | 04:12 PM GMT+7

TheLEADERThe Ministry of Industry and Trade (MoIT) has announced the offer price of Saigon Beer - Alcohol - Beverage Corporation (Sabeco)’s shares at VND320,000 (US$14.1) each for the auction on December 18, which was Sabeco’s closing price on November 28, 217.

Sabeco’s shares are announced to have offer price at US$14.1 each as its auction session looms
Sabeco is leading in Vietnam's beer maket. Photo: SAB

Currently, the State holds an 89 per cent stake in Sabeco and is going to sell over 53.59 per cent of stake in this auction.

According to the auction regulations, the investor must purchase a minimum of 20,000 shares and can buy a maximum of 343 million shares.

The maximum number of shares the foreign investors can purchase is determined based on the foreign room limit of 49 per cent.

In the meanwhile, the foreign investor, who is currently holding 10 per cent of Sabeco’s stake, can buy a maximum of 247 million shares, equivalent to 38.5 per cent of Sabeco’s charter capital.

Furthermore, investors who register to buy more than 25 per cent of charter capital must notify the organization board in advance in order to carry out competitive bidding.

This afternoon, on the Ho Chi Minh City Stock Exchange (HOSE), the MoIT and Sabeco will organize the roadshow to offer investment opportunities for both foreign and domestic ones. Previously, roadshows in Singapore and London were held but there was no information about offer price and number of shares offered for sale.

Sabeco’s stock increased by VND16,000 (US$0.71) and is trading at VND336,000 (US$14.8) in the morning of November 29.

Many corporations such as Carlton & United Breweries ( a subsidiary of AB Inbev - Belgium), Kirin (Japan), Thai Beverage, etc are interested in buying Sabeco’s shares after the Vietnamese government decided to divest from this beer company.

According to data from Bloomberg Intelligence, Sabeco currently holds 40 beer market share in Vietnam with two main brands are 333 and Saigon.