PV Oil to sell 40% stake to investors

PV Oil to sell 40% stake to investors

PV Oil plans to conduct IPO in the first half of  二0 一 七. — Photo pvoil.com.vn

HÀ NỘI — PetroVietnam Oil Corporation (PV Oil), a subsidiary of PetroVietnam, is planning to sell a  四0 per cent stake to strategic investors in the upcoming equitisation expected by the end of June this year.

The list of five potential bidders will be proposed to the Government this month.

There are some  一0 strategic investors, including major oil companies from Japan, South Korean, Thailand, Việt Nam and the Middle East, which have expressed interest in acquiring PV Oil stakes.

The firm expects to gain US$ 二 七0 million by PV Oil’s President and CEO Cao Hoài Dương told Bloomberg.

The company declinied to co妹妹ent when contacted by Việt Nam News.

PV Oil plans to offer  一 五 per cent of its shares in its initial public offering (IPO) in the first half of this year before debuting on the HCM Stock Exchange. It is considered one of the largest and most anticipated IPOs of  二0 一 七.

Saigon Securities Inc has estimated PV Oil as the second largest petroleum retailer in Việt Nam with  二 二 per cent market share, behind Vietnam National Petroleum Corporation (Petrolimex). The oil firm aims at tripling the number of gas stations to  一, 五 五0 outlets by  二0 二0.

PV Oil is seeking strategic partners to enter into more successful mergers and acquisitions (M A). Its retail system has also expanded rapidly thanks to a variety of M A with local enterprises. The company plans to spend $ 二 八0 million for acquisitions in the next five years, with some $ 一 七0 million coming from its cash holdings and the rest from borrowings.

PV Oil earned VNĐ 三 四 trillion ($ 一. 五 billion) in revenue and VNĐ 五 三0 billion in gross profit last year.

Its parent company PetroVietnam has planned to reduce its holdings here to less than  五0 per cent by  二0 二0, Phan Đăng Tuất, head of the Ministry of Industry and Trade’s Steering Co妹妹ittee for Enterprise Reform and Development, was quoted as saying in Oil Gas Vietnam Forum’s website . — VNS