While GIC Private Limited cut its losses in Vinasun last week, Ho Chi Minh City Securities Corporation (HSC) spends around VND100 billion ($4.4 million) becoming the third largest shareholder of Vinasun. 2018 is the fourth consecutive year that Vinasun approves lower business targets HSC has just announced buying 7.2 million shares of Vietnam Sun Corporation (Vinasun, code: VNS), equalling 10.61 per cent. It held only 8 VNS shares before. The transaction took place on May 25, when GIC Private Limited sold a total of 5.4 million VNS shares on the Ho Chi Minh City Stock Exchange (HSX). This Singaporean investment fund fully divested Vinasun at only 40 per cent of the original purchasing price, losing approximately VND120 billion ($5.3 million) in four years. At the average price of VND14,000 apiece, HSC is estimated to spend over VND100 billion ($4.4 million) becoming a large shareholder of Vinasun. After this “low-cost” transaction, HSC became the third largest … [Read more...] about What does HSC expect from loss making Vinasun?
GIC Private Limited made a full exit from Vinasun at a price less than half of what it paid to buy in four years ago. Singaporean investment fund divesting from Vinasun GIC Private Limited (formerly known as Government of Singapore Investment Corporation), a sovereign wealth fund established by the Singaporean government, has just announced to have fully divested Vietnam Sun Corporation (Vinasun, code: VNS), according to the Ho Chi Minh City Stock Exchange (HSX). Accordingly, 5.4 million VNS shares (equivalent to an 8 per cent stake) have been transacted on HSX with the total value of VND80 billion ($3.5 million) on May 25. GIC poured around VND200 billion ($8.8 million) into Vinasun in August 2014, equalling VND45,000 per share. Thus, GIC divested at roughly 40 per cent of the purchasing price, losing approximately VND120 billion ($5.3 million). This move has made as the business results of the taxi firm have turned into the red and its stock fell sharply. Although … [Read more...] about Singaporean investment fund cuts losses in Vinasun
The development of Uber and Grab has put pressure on traditional taxi forms in Việt Nam. — Photo enternews.vnViet Nam News HÀ NỘI — After losing more than VNĐ125 billion (US$5.5 million) in Vinasun, Singaporean investment fund Government of Singapore (GIC) announced a full divestment from Vietnam Sun Corporation (VNS). Accordingly, the fund no longer holds any shares of Vinasun, reported Tiền Phong (Vanguard) newspaper. Specifically, GIC sold 5.4 million VNS shares, representing 7.96 per cent of Vinasun’s capital on May 25 and currently owns no shares. The investment fund of the Government of Singapore invested in Vinasun in August, 2014, when car-hailing applications had not been popular in Việt Nam. The value for the acquisition at that time was estimated at VNĐ200 billion. The development of Uber and Grab has since put pressure on traditional Vietnamese taxi companies, including Vinasun. Although one of … [Read more...] about Singaporean investment fund divests from Vinasun
This is the fourth consecutive year that traditional taxi firm Vinasun has planned lower targets due to the competition with ride-hailing services. Vinasun forecasts to decline revenue this year The Management Board of Vietnam Sun Corporation (Vinasun) has just approved the business plan to submit to the annual general shareholders’ meeting on April 27. The corporation continues proposing lower targets in its business plan due to the competition with ride-hailing services. Accordingly, Vinasun will set the revenue target of VND2.16 trillion ($95.2 million) for 2018, VND1.07 trillion ($47 million) lower than the performance of the two previous years. Net revenue coming from transport services and franchising is expected at VND2 trillion ($88 million), while the remaining revenue will come from the liquidation of assets. “Foreign firms have joined the taxi maket in Ho Chi Minh City with nearly 30,000 vehicles and strong financial ability, which are causing serious … [Read more...] about Vinasun to set target revenue $47 million lower this year
Vinasun, the second biggest taxi firm in Vietnam, has got the go-ahead to launch its own app for hailing minicabs, in an explicit gesture to fight back low-cost ride-hailing services like Uber and GrabTax, which have enjoyed significant growth in Vietnam. “The Ministry [of Transport] has allowed Vinasun, after Grab Taxi, to launch the hailing app to connect with passengers," Le Hoang Minh, vice director of the Ho Chi Minh City's Department of Transport, said Thursday. “We encourage transport companies to apply new technologies to make it more convenient and safer for their passengers,” he said. Vinasun, which has around 6,000 cabs and operates chiefly in Ho Chi Minh City, will offer the ride-hailing services with a fleet of 200 minicabs without roof signs, including seven-seat Fortuners and four-seat Camrys. Passengers using Vinasun’s ride-hailing app can easily recognize their minicabs with stamps of Vcar, Vinasun's luxury version. They will be offered the … [Read more...] about Vietnam’s Vinasun launches ride-hailing app to compete with Uber, Grab