Vietnamese paper maker Saigon Paper Corp (SGC), which will launch its IPO next month, has forecast net profit this year should soar 115 percent from 2006 to $2.3 million due to strong demand and expanded capacity.
The company said in its prospectus seen on Monday 2007 revenues should jump 117 percent from last year to $28 million due to strong demand for tissue and napkins products and 50,000 tonnes of new capacity at two new plants in the south.
The Ho Chi Minh City-based company said it had set a starting price for its 3 million shares at an auction scheduled for July at 20,000 dong ($1.24), or double the stock's face value.
SGC, which has assets of $28 million, plans to invest about $1 million of the $3.7 million expected from the initial public offering in two new paper plants in Hung Yen province in the north and the central province of Quang Nam.
The firm, which makes tissue and toilet papers for domestic use and export to Africa, said it aimed to achieve a return-on-equity of 31.2 percent and pay a dividend of 15 percent this year.
Source: Reuters
Showing posts with label SGC. Show all posts
Showing posts with label SGC. Show all posts
Monday, June 25, 2007
Saturday, May 19, 2007
Blue chip firms speculate in real estate
Vietnamese companies are increasingly moving from their traditional business platforms into real estate speculation and development in a bid to boost corporate values on the stock market.
High-profile firms like REE are widening their portfolios to include real estate speculation and property development
The shift has become order of the day for many firms eager to tap into a red hot real estate market that is generating huge profits for investors as demand currently heavily outweighs supply.
Refrigeration and Engineering Corporation (REE) is one company known for its mechanical and engineering business. The firm is now a high-profile real estate developer with five successful office projects in Ho Chi Minh City on the books and more on the way.
Last year, REE pocketed over $3 million from the lease of company-owned office space and expects to double that figure this year after opening a further 27,000 square metres in area two months ago.
REE has plans to increase its forays into the market with a $25 million investment that will see the company increase its leased floor space by an additional 65,000sqm.
Confectionery maker Kinh Do Corporation recently announced that it would invest 30% of its operating profits into property development with an office and residential complex for Ho Chi Minh City.
Battery producer Pinaco and the Saigon Garment Company (SGC) are other cases in point. Pinaco is preparing a share issuance to raise capital to build a new factory in Dong Nai province and is looking for partners to develop its current 20,000sqm site in Ho Chi Minh City's District 6. SGC also plans to build a small industrial complex and move its facilities out of town. The company will rebuild residential and office blocks on its current site.
Other firms, which are preparing for initial public offerings (IPO), are also building large offices to boost corporate values. Vietcombank is due for an IPO in October and has stated it will put up a 77,000sqm office block in the country's second city, while Bank for Investment and Development of Vietnam, Electricity of Vietnam, Bao Viet and Bao Minh are all building their own office buildings.
Real estate investments are not only boosting corporate profiles but are also bringing in tidy profits for companies not afraid to step away from their traditional business models. Grade A office monthly rental rates in Hanoi and Ho Chi Minh City now reach $38 per square metre and are expected to fetch up to $46 by next year. Housing and retail space demand is also strong with rents set to increase across the board.
Source: VNE
High-profile firms like REE are widening their portfolios to include real estate speculation and property development
The shift has become order of the day for many firms eager to tap into a red hot real estate market that is generating huge profits for investors as demand currently heavily outweighs supply.
Refrigeration and Engineering Corporation (REE) is one company known for its mechanical and engineering business. The firm is now a high-profile real estate developer with five successful office projects in Ho Chi Minh City on the books and more on the way.
Last year, REE pocketed over $3 million from the lease of company-owned office space and expects to double that figure this year after opening a further 27,000 square metres in area two months ago.
REE has plans to increase its forays into the market with a $25 million investment that will see the company increase its leased floor space by an additional 65,000sqm.
Confectionery maker Kinh Do Corporation recently announced that it would invest 30% of its operating profits into property development with an office and residential complex for Ho Chi Minh City.
Battery producer Pinaco and the Saigon Garment Company (SGC) are other cases in point. Pinaco is preparing a share issuance to raise capital to build a new factory in Dong Nai province and is looking for partners to develop its current 20,000sqm site in Ho Chi Minh City's District 6. SGC also plans to build a small industrial complex and move its facilities out of town. The company will rebuild residential and office blocks on its current site.
Other firms, which are preparing for initial public offerings (IPO), are also building large offices to boost corporate values. Vietcombank is due for an IPO in October and has stated it will put up a 77,000sqm office block in the country's second city, while Bank for Investment and Development of Vietnam, Electricity of Vietnam, Bao Viet and Bao Minh are all building their own office buildings.
Real estate investments are not only boosting corporate profiles but are also bringing in tidy profits for companies not afraid to step away from their traditional business models. Grade A office monthly rental rates in Hanoi and Ho Chi Minh City now reach $38 per square metre and are expected to fetch up to $46 by next year. Housing and retail space demand is also strong with rents set to increase across the board.
Source: VNE
Thursday, May 03, 2007
Sagimexco expects this year's revenue to increase by 11%
Vietnam's shrimp-flavoured cake maker Sagimexco (SGC) said on Thursday it expected its revenues to rise nearly 11% to 98 billion dong ($6.1 million) this year.
The Dong Thap province-based company said in a statement published by the Ho Chi Minh City Securities Trading Center its gross profit this year should be 18 billion dong ($1.1 million), unchanged from 2006.
On Thursday, shares in Sagimexco closed unchanged at 46,000 dong ($2.85), or 34.8% below their year high of 70,500 dong.
Source: Reuters
The Dong Thap province-based company said in a statement published by the Ho Chi Minh City Securities Trading Center its gross profit this year should be 18 billion dong ($1.1 million), unchanged from 2006.
On Thursday, shares in Sagimexco closed unchanged at 46,000 dong ($2.85), or 34.8% below their year high of 70,500 dong.
Source: Reuters
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