Foreign funds strive to exit logistics firm Gemadept

The fund will offer those shares for sale between December 10 2019 and January 8 2020. After the deal, Vietnam Investments will cut its ownership at Gemadept to zero from the current 14.44 percent, according to exchange filing.

This is not the first time Vietnam Investments Fund II wants to divest from Gemadept.

Recently, the foreign fund registered to sell shares between November 5 and December 2. However, transaction result was not successful.

In August, the British firm sold nearly 29.7 million Gemadept shares to slash its stake in the logistics firm to 19.55 percent from previous 29.55 percent, or more than 87.7 million shares.

Between August 23 to September 20, the fund sold more than 12.8 million shares of the total 58 million registered shares.

VI Fund II is a Vietnam-focused investment fund run by the UK firm CDC Group Plc. It became one of the major shareholders at Gemadept after receiving 87.7 million shares via a private deal as a swap for the Vietnamese firm’s $40 million loan.

Gemadept Corporation was established in 1990 and was among the first 3 companies selected by the government for equitization in 1993. From 2002, Gemadept was officially listed on Vietnam Stock Exchange.

It is one of the leading enterprises in its core businesses including port operation and logistics. 

On the stock market, GMD is declining sharply, to the bottom of more than 1 recent year, currently trading at around VND23,500 ($1) each share.