On April 05, 2016, the Prime Minister signed Decision No. 562/QD-TTg on approving plan for equitization of parent company – Viet Nam Engine and Agricultural Machinery Corporation (VEAM), combined transfer a portion of State- owned capital and issuance of new shares in order to increase the charter capital.
Accordingly, Viet Nam Engine and Agricultural machinery corporation – Joint-stock company shall inherit rights, obligations and lawful benefits from Viet Nam Engine and Agricultural machinery corporation before it is transformed, be entitled to carry out existing business sectors/industries and other business activities in conformity with the laws.
About charter capital and structure of shares in initial public offering, it’s specified that the charter capital is VND 13,288 billion, equivalent to 1,328,800,000 shares. In which, 677,688,000 shares are held by the State, taking up 51% of the charter capital; 5,669,100 shares are sold to employees at discounted price, taking up 0.43% of the charter capital; 478,368,000 shares are sold to strategic investors, taking up 36% of the charter capital and 167,074,900 shares are sold outside the enterprise via auctions, taking up 12.57% of the charter capital. The starting price of the initial public offering of shares shall be decided in conformity with current laws and actual situation of the enterprise.
This Decision takes effect on the signing date.
