Warren buffett 75 million shares

ENEOS Corporation registered to buy 13 million shares of Petrolimex, increasing the ENEOS’s already major shareholding

ENEOS – a Japanese leading energy group (formerly JXTG Nippon Oil & Energy) – has recently registered to buy 13 million treasury shares of Petrolimex.

The move aims to lift its ownership at Petrolimex, strengthen its foothold in the burgeoning Vietnamese market, and capitalise on the country’s potential.

Before the transaction, ENEOS Corporation did not own any Petrolimex shares but it is linked with JX Nippon Oil & Energy Vietnam, a major shareholder that owns more than 103.5 million, accounting for approximately 8.73 per cent of Petrolimex.

In addition, Toshiya Nakahara, a member of Petrolimex’s Board of Management, is also part of the key personnel at ENEOS Corporation.

Previously, JXTG has formally changed its name to ENEOS as part of a corporate restructuring to address the oil industry’s imminent shift to a low-carbon society. Its core unit, refinery and gas station operator JXTG Nippon Oil & Energy, was renamed to ENEOS Corporation.

Petrolimex (HSX: PLX) previously notified the Ho Chi Minh City Stock Exchange that it will sell 13 million treasury shares or 1.1 per cent of the outstanding shares between August 27 and September 25.

In general, experts still believe Petrolimex 12-month target stock price would benefit thanks to growth in retail energy demand, expansion of more profitable directly-owned gas stations, and greater use of convenience stores to boost revenue from the gas station network.

The Hanoitimes – At the close of today, Thai Nguyen International Hospital received strong attention from investors with the share prices going up by a maximum of 20% against the reference price to VND30,000 (US$1.31).

Thai Nguyen International Hospital today [January 6] became Vietnam’s first hospital to list 41.5 million shares on the Ho Chi Minh Stock Exchange, home to the majority of large caps.

First trading session of Thai Nguyen International Hospital on HoSE.

The reference price for the first trading session is set at VND25,000 (US$1.09) per share, equivalent to a market capitalization of VND415 billion (US$18 million).

At today’s close, Thai Nguyen International Hospital received strong attention from investors with more than 1.38 million shares changed hands and the share prices going up by a maximum of 20% against the reference price to VND30,000 (US$1.31).

This pushed the hospital’s market capitalization to VND1.22 trillion (US$53.1 million).

Founded in 2012, the hospital currently has a registered capital of VND415 billion (US$18 million). Last year, it posted revenue of VND275.4 billion (US$12 million) and after-tax profit of VND88.8 billion (US$3.86 million).

A statement from HoSE suggested companies listing shares on the stock market would help them better access capital and promote their brands.

Customers at a branch of Vietinbank (CTG). CTG hit the daily limit rise of 7 per cent on Wednesday.(Photo courtesy of Vietinbank)

The benchmark VN-Index on the Ho Chi Minh Stock Exchange gained 0.94 per cent to end the morning session at 1,143.21 points.

Nearly 790.5 million shares were traded on the southern bourse, worth VND18 trillion (US$782.6 million).

Market breadth was positive with 244 gainers and 197 decliners.

The large-cap tracker VN30-Index was up 0.85 per cent to 1,113.72 points.

Seventeen of the 30 large-cap stocks in the VN30 basket increased while thirteen declined.

Three banking stocks in the VN-30 basket, Vietinbank (CTG), Vietcombank (VCB) and HDBank (HDB), all soared with CTG and VCB hitting the ceiling prices, HDB gained more than 5 per cent.

Other blue-chips such as Hoang Huy Investment Financial Services JSC (TCH), Bank for Investment and Development of Viet Nam (BID) and Eximbank (EIB) gained more than 4 per cent.

Military bank (MBB), Khang Dien House (KDH) and Novaland (NVL), Sacombank (STB) and Techcombank (TCB) were among the advancers over 2 per cent.

On the negative side, PVPower (POW), Sabeco (SAB) and FLC Faros Construction JSC (ROS) were among the losers, dropping more than 1 per cent.

“Market liquidity increased slightly, market amplitude widened and positive market breadth reflected strong domestic cash flows in the market,” said BIDV Securities Co (BSC).

“Foreign investors turned to be net buyers on the HoSE while they were net sellers on the HNX.

“With cash flow from domestic and foreign investors continuing to support the market uptrend, the VN-Index is likely to successfully retest the 1,150 points threshold in the coming sessions.

Foreign investors net bought VND227.16 billion on HOSE, including Vietinbank (CTG) with VND108.4 billion, Vietcombank (VCB) with VND61 billion and HDBank (HDB) with VND51.8 billion. They were net sellers on the HNX with the value of VND14.11 billion.

Sixteen of 25 sector indices on the stock market gained ground, including wholesale, real estate, IT, insurance, energy, healthcare, construction materials, banking, securities, agriculture and construction.

They all gained between 0.2 and 3.2 per cent.

On the opposite side, losers were retail, food and beverage, rubber production, logistics and seafood processing.

On the Ha Noi Stock Exchange, the HNX-Index rose 1.71 per cent to close Wednesday at 211.68 points.

The index had climbed 0.9 per cent to end Tuesday at 208.13 points.

More than 148 million shares were traded on the northern market, worth VND2 trillion.

Saigon Jewelry Company listed gold at VND55.75 million per tael for buying and VND56.15 million per tael for selling, up VND150,000 per tael in buying rate but down VND200,000 per tael in selling rate, at 4.30 p.m. in Ho Chi Minh City.

At the same time in Hanoi, PNJ Company quoted SJC gold price at VND55.7 million per tael for buying and VND56.15 million per tael for selling, an increase of VND50,000 and VND200,000 per tael in buying and selling rates, respectively.

The difference between the buying and selling prices was also narrowed down by gold traders to VND450,000 per tael compared to the gap of VND700,000-VND800,000 per tael in the previous day. Thus, after just one day, gold buyers in the God of Wealth Day had to suffer a total loss of about VND850,000-VND900,000 per tael because of the decreasing gold price and the difference between buying and selling prices.

Meanwhile, on the global gold market, spot gold on the Asian market in the morning of February 22 rose by more than US$13 an ounce compared to the closing price in the trading session last week. As the global gold price advanced but the domestic one dropped, the latter was now VND6.2 million per tael higher than the former, instead of VND7.5 million per tael higher in the last week.

On February 22, to help customers to lessen difficulties and overcome the Covid-19 pandemic, Vietcombank cut its interest rates for all existing loans and new loans of customers within three months, starting from February 22 to May 22 this year. Specifically, for corporate customers, Vietcombank reduced 10 percent of the interest payable for customers that have been negatively affected by the Covid-19 pandemic. The lender also lowered up to 5 percent on bank interest payable for its remaining Covid-19-affected customers.

For individual customers, Vietcombank reduced interest rates by 0.2 percent per year for individual customers who borrow loans for production and business activities due to the impacts of the Covid-19 pandemic. Accordingly, the total number of customers with interest rate reduction is 105,000 with a credit scale of VND350 trillion, accounting for over 40 percent of Vietcombank’s outstanding loans. Subjects of this interest rate reduction do not include outstanding loans that are receiving Vietcombank’s preferential interest rate policy.

The Hanoitimes – With Petrolimex share price of VND50,400 (US$2,17) apiece at the close on August 25, Eneos is set to fork out at least VND650 billion (US$28 million) to complete the deal.

Japan-based Eneos Corporation, a subsidiary of Nippon Oil & Energy Vietnam, is planning to purchase 13 million shares, or a 1% stake of Vietnam’s largest petroleum distributor Petrolimex, according to a filing to Ho Chi Minh Stock Exchange (HoSE).

Japanese shareholders are looking to increase their stake at Vietnam’s largest petroleum distributor.

The transaction period is set to take place from August 27 – September 25 through order matching.

Eneos has yet to own Petrolimex shares. However, the firm is a subsidiary of Nippon Oil & Energy Vietnam, Petrolimex’s second largest shareholder with 103.5 million shares, or 8.73% stake, only behind Vietnam’s Committee for State Capital Management (CSCM) with 981.68 million shares, or an 82.79% stake.

Once completed, shareholders related to Nippon Oil & Energy Vietnam would increase its stake holding at Petrolimex to 9%.

With Petrolimex share price of VND50,400 (US$2,17) apiece at the close on August 25, Eneos is set to fork out at least VND650 billion (US$28 million) to complete the deal.

Petrolimex currently holds a 50% market share in Vietnam’s petroleum distribution sector with a retail network of more than 2,400 petrol stations and nearly 3,000 retail outlets across the country.

Due to severe impacts from the Covid-19 pandemic, Petrolimex posted revenue of VND65.2 trillion (US$2.81 billion) in the first six months of 2020, down 29% year-on-year, resulting in a net loss of VND1.08 trillion (US$46.6 million). The figure remained in stark contrast with a net profit of VND2.6 trillion (US$112.14 million) recorded in the same period last year.

For this year, Petrolimex plans a sharp decline in revenue of 36% year-on-year to a 10-year low of VND122 trillion (US$5.26 billion), and a 72% plunge in profit to VND1.57 trillion (US$67.74 million).

Vietnam’s Ministry of Industry and Trade (MoIT) previously proposed the government allow foreign investors to join the local petroleum retail market. Under the proposal, local oil and petrol traders could be allowed to transfer their stakes to foreign investors but foreign ownership should not exceed 35%.