Vinalines Cut Debt by USD 440 Mn from 2014 to 2017

Vietnam National Shipping Lines (Vinalines) managed to reduce its debt by VND 10.6 trillion (USD 440 million) during the period between 2014 and 2017.

Illustration. Image Courtesy: Pixabay under CC0 Creative Commons license

This was announced by Le Quang Trung, the company’s vice general director, during the presentation of Vinalines’ financial results for the first nine months of 2018.

From January to September 2018, the company posted a profit of VND 21 billion and a revenue of VND 11.7 billion, achieving 86.1% of the strategic goals set for 2018.

During the nine-month period, the shipping firm handled 62.93 million tons of cargo at domestic ports and transported another 18.66 million, equivalent to 64.1% and 86.9% of the annual plan, respectively.

In the third quarter, Vinalines launched an initial public offering (IPO), raising VND 54.3 billion. As explained, the proceeds were modest when compared to the company’s expectations of at least VND 4.89 trillion.

Vinalines offered 488.82 million shares in the IPO at a starting price of VND 10,000 apiece. Following the IPO, the state will hold 65% of charter capital, while 2% of charter capital will be sold at a preferential price for VNL employees and trade union.

The company intends to become a joint stock company by the end of this year.

Vinalines’ fleet currently comprises containerships, bulkers, and tankers.