Vietnam's Petrolimex plans July 28 IPO, Deputy CEO says

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Vietnam National Petroleum Corp., the nation's biggest fuel supplier, plans to sell shares in an initial public offering on July 28, Deputy Chief Executive Officer Vuong Thai Dung said.

The company will propose a minimum starting price of VND15,000 per share, which is subject to approval from the Ministry of Industry and Trade, he said in a telephone interview Monday.

Hanoi-based Petrolimex, as the company is also known, plans to release its prospectus in the first week of July, and hold an investor road show from July 12 to July 15, Dung said.

Prime Minister Nguyen Tan Dung approved the sale of about 27.4 million shares to the public, equivalent to a 2.56 percent stake in Petrolimex, the government said earlier this month.

Vietnam is accelerating partial privatization of state-owned companies after delaying sales for two years because of the global financial crisis.

Petrolimex's share sale will follow Vietnam Steel Corp.'s IPO this month. The steel company received bids for 59 percent of the shares it offered and the sale brought in 395.46 billion dong ($19.1 million) on June 10.

The Ho Chi Minh City Stock Exchange's VN Index has declined 10.9 percent this year on concerns that higher borrowing costs will crimp corporate earnings and economic growth.

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