A Thanh Thanh Cong Bien Haa JSC factory. (Photo: congthuong.vn)
Hanoi (VNS/VNA) — Dozens of companiesare racing to buy back shares to stabilise prices amid the COVID-19 outbreak.
“Companies buying back shares at this time might helpreassure shareholders,” said Phan Dung Khanh, investment director of MaybankKim Eng Securities.
Companies buying their own stocks reduce the total amount ofshares on the market, leading to a rise in earnings per share that boosts stockprices.
“To help companies repurchase their shares faster, the StateSecurities Commission has shortened the process from seven days to just one,”said Tran Van Dung, Chairman of the State Securities Commission.
Tran VuMinh, son of Tran Dinh Long, Chairman of steel giant HoaPhat Group (HPG), bought back 20 million HPG shares between March 17 to April16.
HPG is trading at 18,600 VND per share.
Nguyen Thi Mai Thanh, Chairwoman and CEO of the RefrigerationElectrical Engineering JSC (REE), bought 15 million REE shares between March 18to April 17.
The chairwoman is expected to spend over 450 billion VND onREE, that is priced at 29,800 VND per share.
Thanh’s ownership in the company will increase to 12.2percent, equivalent to 37.7 million shares, when the transaction is completedby April 17.
A major shareholder in REE, Platinum Victory Pte Ltd, alsoregistered to buy more than 3 million shares between March 19 and April 17.
Bui Thanh Nhon, chairman of real estate developer NovalandInvestment Group (NVL), has registered to buy five million shares between nowand April 18 at a cost of 255 billion VND.
After the transaction, he will hold 206 million shares in thecompany, equivalent to 21.25 percent of the capital.
On the stock market, NVL is priced at 51,000 VND per share.
The board of directors at Sai Gon Thuong Tin Real Estate JSC(SCR) will buy back five million shares at a cost of 22 billion VND beforeApril 17.
Masan Consumer Holdings Ltd bought 1.3 million shares ofMasan Consumer Corporation (MCH) between March 17 to March 31 at a price of 58,000VND per share.
Tien Phong Joint Stock Commercial Bank (TPBank) alsoregistered to buy 10 million shares before April 18 at a cost of 200 billion VND.
The PAN Group has announced a plan to buy back 21.6 millionshares worth nearly 370 billion VND./.
