The office building of state-controlled publishing house Savina in Hanoi's Hoan Kiem District. Photo: VNA
Real estate conglomerate giant Vingroup has received the government's approval to buy a stake of 65 percent in state-controlled publishing house Savina for VND472 billion (US$20.89 million), local media reported on Tuesday.
The deal was approved by the Ministry of Culture, Sports and Tourism just a few days ahead of the publisher's initial public offering, where it is set to sell another stake of 24.6 percent, according to news website Zing. The government will own the rest.
While Savina is slated to auction 16.73 million shares, starting at VND10,500 per share, at the IPO this Thursday, the number of shares subscribed by investors has nearly doubled the planned sale, it said.
Although its post-tax profits declined 30 percent to VND400 million last year compared from 2012, the veteran publishing house has received strong interest from investors with its six "golden" commercial properties, mostly in the city downtown, local media reported.
Savina mostly publishes children's books and textbooks.