(VNF) – On December 23, 2021, the Ho Chi Minh Stock Exchange (HoSE) issued Decision No.717/QD-SGDHCM on approving the listing of shares for Deo Ca Transport Infrastructure Investment Joint Stock Company.

Trung Luong – My Thuan Expressway has completed 90% of the volume, It will be put into service for people on the occasion of the Lunar New Year.

Accordingly, more than 267 million HHV shares of Deo Ca Transport Infrastructure Investment Joint Stock Company will be transferred from the Hanoi Stock Exchange (HNX) to listed on the Ho Chi Minh Stock Exchange (HoSE), equivalent to the value of shares traded at par value of more than 2,670 billion dong.

Attracting international investment

The prolonged Covid-19 epidemic has had a negative impact on our entire country’s economy and society, in which businesses have also been severely affected. HHV (a member unit of Deo Ca Group) has recognized that the epidemic situation will be prolonged, so it is necessary to make efforts to well implement the dual goals and complete the set plans. Measures to vaccinate, control the construction progress have been implemented from the beginning, especially at the Trung Luong – My Thuan project, where an outbreak of the virus occurred in the early days of June, more than 4,000 vaccine doses has been administered to all staff.

Difficult epidemics, tight credit, and inadequate mechanisms have made a series of transport projects unable to borrow capital. When HHV planed to invest in projects such as Cam Lam – Vinh Hao expressway, Dong Dang – Tra Linh expressway, Huu Nghi – Chi Lang expressway… and some other projects, the solution then was to diversify sources of direct investment capital, business cooperation, share transfer, etc. Capital from strategic shareholders and foreign investors was the target of Vietnam’s transport infrastructure. Changing the exchange from UPCoM to HoSE would help improve investment attraction, create competitiveness and manage change.

Mr. Ho Minh Hoang, Chairman of HHV affirmed: “Listing on UPCoM has ensured the conditions to raise capital for investment and project development, but switching to HoSE will increase liquidity and facilitate attracting investors. investment, especially foreign investors”.

Recently, HHV stock on UPCoM has shown positive signals when continuously creating new price peaks. For many consecutive sessions, HHV was in the top of the most traded stocks on UPCoM with a trading volume around 14-15 million shares per session.

According to Dr. Vu Bang – Former Chairman of the State Securities Commission, in recent years, HHV shares have had stable growth on the stock market. This is a good and objective assessment of investors and the market towards HHV. Deo Ca Group said it had created “real value” and HHV contributed to “increase that real value”, all stemming from a common perception about the future development of the transport infrastructure construction industry in the economic development trend of Vietnam. Especially, after the pandemic, investment in transport infrastructure to stimulate economic growth is inevitable.

Infrastructure investment – creating bridging benefits

With the strength of investment, construction and operation management of transport infrastructure works, in the past 10 years, HHV and Deo Ca Group have been implementing more than 22km of road tunnels, 275km of highways and national highways, 6 large bridges and management of 7 toll stations across the country.

Development strategy for the period 2021-2025, vision to 2030 of HHV is to continue together with Deo Ca Group to maintain the leading position in the field of transport infrastructure investment in Vietnam market, towards integration and international approach in the field of infrastructure investment.

In particular, the period 2021 – 2025 continues to focus on the field of road transport infrastructure, providing closed services with 4 key activities including: investment activities; construction and installation activities; management, operation and exploitation of road traffic infrastructure works and services associated with highways.

Deo Ca Group and HHV have cooperated with businesses with strengths in other fields to benefit when infrastructure projects take shape. Well-known and reputable enterprises such as Van Phu Invest, Thanh Loi, Phu My, My Way, etc… together contribute investment capital, with the strategy of “Golden road creates golden value”, attaching obligations and responsibilities with interests on the basis of creating a service supply chain. The traffic infrastructure projects formed will be associated with real estate projects, logistics, rest stops, specialized medical services, etc.

Expanding business lines in new areas is also a trend of many large enterprises on the principle of creating a value chain, reducing intermediary costs, creating horizontal value linkages. According to experts, this is also an orientation to limit risks and help develop businesses in a sustainable way.

BY LAN THU

Source: vietnamfinance.vn