PVI plans to sell 53m shares to foreign investors

PetroVietnam Insurance Joint Stock Corp (PVI) has recently approved a plan to retail 53.2 million shares to foreign investors in 2011.

The offering price is expected at no lower than 120 percent of its book value as of December 31, 2011 at 22,427 dong per share whereby the offering price will not be lower than 26,912 dong/share.

The shares will be sold to foreign investors in the insurance sector. Of which, the list of potential investors showed intention in buying PVI shares including global insurance groups such as Talanx AG/ Hannover Re, SCOR, Royal and Sun Alliance Ins, Zurich Financial Service Group, Insuarance Australia Group, and Mapfre and Asian insurance groups like Ping An, Shinhan and Nippon Life.

The share issuance is part of the company’s plan to hike its chartered capital from 1.6 trillion dong to 3.6 trillion dong in 2011-12.

The proceeds from the share issuance will be used to expand the operation scale, improve the company’s finance capacity and develop new finance services.

In addition, the insurer will also use the raised capital as chartered capital for new subsidiaries.

Tags: PVI