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|Nawaplastic will buy more shares by May 3 to secure its hold on Binh Minh Plastic|
Notably, the transactions were conducted on April 6-9. After the deal, Nawaplastic increased its holdings in BMP to from 19.89 to 50.12 per cent, equalling over 41 million shares, according to Bizlive.
At the date of the transactions BMP’s shares were valued at VND70,900 ($3.11), thus, Nawaplastic spent approximately VND11 billion ($483,115) on the deal.
The deal is part of Nawaplastic’s plan to buy an additional 818,000 BMP shares to increase its holding to 50.89 per cent. The transactions are expected to occur between April 4 and May 3 this year.
Thus, by May 3, the Thai investor will buy the remaining 630,000 shares.
If the plan comes true, Nawaplastic will secure its hold in BMP, although it has already achieved a majority interest.
Previously, Nawaplastic bought 99.9 per cent of the shares BMP offered at an auction organised on March 9.
According to information published by the Ho Chi Minh City Stock Exchange (HSX), two investors joined the auction: Nawaplastic and a domestic individual. As a result, Nawaplastic spent approximately VND2.329 trillion ($102.33 million) buying 24.139 million of the 24.159 million shares on offer at the initial price of VND96,500 ($4.24).
Nawaplastic, a wholly-owned subsidiary of Thai Plastic and Chemicals PCL (TPC), specialises in manufacturing and distributing PVC.
Through the acquisitions in BMP and Tien Phong Plastic, Nawaplastic would seize their advantages in manufacturing and distribution systems as well as their brands to realise SCG and Nawaplastic’s target to control the construction materials market in Vietnam.