VietJet Aviation Joint Stock Co., which controls almost half of Vietnam’s domestic airline market, is considering to list its shares on an overseas stock exchange, its founder and CEO Nguyen Thi Phuong Thao mentioned during its shareholders’ meeting on April 26.
Thao said Vietjet has been receiving attention from some foreign stock exchanges including London, Hong Kong, Taiwan and Singapore. At present, the company, she said, is working on challenges related to listing overseas such as time zone differences and legal issues.
Le Nhi Nang, Representative of the State Security Commission in Ho Chi Minh City, said that Vietjet should consider an overseas listing, possibly Singapore. If successful, Vietjet will be the first Vietnamese company to officially trade overseas, he said. The plan for the 41 trillion-dong ($1.8 billion) low-cost carrier comes amid the government’s easing of rules to allow more foreign investment in one of the fastest-growing aviation markets.
Hanoi-based Vietjet received shareholder approval in April last year to boost its foreign ownership limit to 49 per cent from 30 per cent. Vietjet had raised $170 million through an IPO in 2016, attracting large buyers like BNP Paribas, Deutsche Bank and JP Morgan.
By Quynh Nguyen, First posted on Deal Street Asia