17th Apr 2018 17:24
LONDON (Alliance News) - Vietnam Enterprise Investments Ltd said Tuesday its net asset value increased by 46% to GBP5.22 from GBP3.57 for the year ended 2017 outperforming the Vietnam Stock Index.
This growth came from the net asset value per share in the banking sector and Vietnam Enterprise Investments' holdings in Asia Commercial Bank and Military Bank Vietnam. The net asset value per share doubled for both banks.
The fund's current assets increased 61% to USD1.64 billion from USD1.02 billion.
VEIL saw strong net asset value performance across all sectors. The transportation sector performed well with Airports Corporation of Vietnam increase more than two fold and Vietjet Air increasing 96% standing out. In the food and beverage sector, Vinamilk was the standout performer, jumping 72%, and in the retail sector, Mobile World up 70% performed well on the back of strong earnings growth. The biggest drag on VEIL's relative performance to its benchmark was its underweighted investments in the energy sector.
The real estate & construction sector also contributed performance with DIG up more than three fold, Dat Xanh Group more than double and Khang Dien House up 63% performing strongly. That said, due to an underweight position in Vingroup the sector's overall contribution to VEIL was slightly under that of the Vietnam Stock Index.
The fund's outlook for 2018 will be to focus on privatisations and IPOs. In the near-term, three companies in the energy sector: Binh Son Refinery with a USD3.2 billion market capitalisation; Petro Vietnam Power, USD1.5 billion market capitalisation; and Petro Vietnam Oil USD900.0 million market capitalisation will be of particular focus.
Shares in Vietnam Enterprise Investment closed down slightly at 479.00, a 0.2% fall.
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Vietnam Enterprise Investments