Vietnam’s Nam Long Investment to Sell Shares After Market Rally
Nam Long Investment Corp., a real- estate company, plans to sell shares on the Ho Chi Minh City Stock Exchange next month after a rally for the stock market made it Asia’s second-best performer this year.
The Ho Chi Minh City-based company will offer 95.5 million shares at a price of 27,000 dong on April 8, Chief Operating Officer Nguyen Vinh Tran said in a phone interview.
The benchmark VN Index (VNINDEX) of the Ho Chi Minh City Stock Exchange has rallied 18 percent this year, the best-performing measure in Asia after Japan. The gauge, which jumped 18 percent last year, rose 1.4 percent today.
The market “is rebounding, so listing at this time would be good for us,” Tran said. “Even though the property market is still gloomy, with our right business strategy, we believe the company will still make a profit and investors can get good returns.”
Vietnam’s property market is “frozen and faces many difficulties” with about 112 trillion dong of real-estate projects unsold, according to a January posting on the website of the National Assembly’s Economic Committee. Credit growth may remain slow in the first few months of 2013, Prime Minister Nguyen Tan Dung said on Jan. 1.
Nam Long focuses mainly on affordable housing, Tran said. There will be “very high demand” because prices are “reasonable” for a majority of customers, he said.
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