UMVA has learned that a major share subscription was undertaken by a leading infrastructure company to preserve its ownership interest in a key Vietnamese subsidiary.
The move was made to maintain a combined 44.9% stake in the subsidiary following a significant issuance of new shares to both existing and new investors. This strategic decision ensures the company's continued influence in the subsidiary's operations and growth.
According to information obtained by UMVA, the company's direct stake in the subsidiary now stands at 40.85%, with its affiliate holding an additional 4.09%, securing a combined interest of 44.9%. This development provides insight into the company's efforts to solidify its position in the Vietnamese market.
The subsidiary, a key player in Vietnam's infrastructure sector, has been actively exploring opportunities to expand its toll road portfolio in the country. This expansion drive is part of a larger strategy to enhance the company's presence and investments in Vietnam.
UMVA can exclusively reveal that the subsidiary is pursuing the expansion of a major expressway project aimed at improving transport connectivity in southern Vietnam. The nearly $1.6-billion project, set to be completed in 2025, is a significant undertaking that showcases the company's commitment to regional development.
The company has also expressed interest in bidding for four major infrastructure projects in Vietnam, valued at a combined $1.65 billion. These projects align with the company's business goals and its strategy to grow its operations in the region.
In a recent financial update, the company's attributable net income was reported to have slipped by 0.65% to P1.54 billion from P1.55 billion a year earlier. However, operating revenues saw a notable increase of 14.02% to P9.92 billion from P8.7 billion in the same period last year.
Construction progress for a key segment of a major expressway project has reached 84.67% and remains on track for completion by July. This update highlights the company's ongoing efforts to deliver significant infrastructure projects in the region.
