VIETNAM. Airports Corporation of Vietnam (ACV) is to sell 3,945,000 shares (a 3% stake) in its duty free, F&B and related airport services subsidiary Southern Airports Services Joint Stock Company (SASCO).
According to a 1 December filing with the Hanoi Stock Exchange obtained by The Moodie Davitt Report, the transaction will start today with completion expected by 4 January 2017.
The sale will reduce ACV’s holding to 48%, according to a report today by online media VietnamNet. At the time of its report, SASCO shares were trading at VND26,000 (US$1.17), valuing the transaction at VND100 billion ($4.4 million). They currently sit at VND27,400.
SASCO runs duty free departures and arrivals stores at Tan Son Nhat Airport in Ho Chi Minh City as well as speciality retail, passenger lounges, food & beverage and other consumer services.
According to VietnamNet, SASCO earned VND240 billion (US$10.6 million) in profit in 2015 from trading duty free products and providing business lounge services, each contributing VND120 billion ($5.29 million) each.
Tan Son Nhat served 26 million passengers in 2015, and for the first nine months of this year 24 million, a +24% rise year-on-year.
A major airport expansion is expected to be completed in 2018, increasing capacity by +60% to 40 million passengers a year.
SASCO, established in 1993, has 1,300 employees and is one of Vietnam’s top 500 enterprises.