Vietnam's Petrolimex IPO oversubscribed, nets $20 mln

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Petrolimex, Vietnam's top fuel importer and distributor, raised VND412.3 billion ($20.03 million) in its initial public offering on Thursday at an average price of VND15,032 a share, a shade over the starting price for the oversubscribed issue.

Investors put in bids for 30.1 million shares, or about 10 percent more than offered, the Hanoi Stock Exchange said.

In its prospectus, Petrolimex had said it expected to raise at least $20 million from selling nearly 27.43 million shares, which is 2.56 percent of the firm's registered capital.

The starting price was VND15,000 and the highest winning price was 19,600 dong for the initial public offering, the exchange said.

State media have said shares amounting to 2.45 percent of the firm would be sold to staff and the trade union, leaving the state with a 94.99 percent holding. The shares were not available to foreign investors.

Petrolimex imports 55 percent of the oil products that Vietnam purchases abroad and has a 55 percent share of the domestic oil products market.

The company has said it plans to expand into oil refining and wants to build Vietnam's first pipeline to China to help the Southeast Asian country meet an anticipated rise in demand for products this decade.

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