Kim Long Securities Company (KLS), one of the leading shares by volume traded on the Ha Noi Stock Exchange, completed a sale of 10.9 million additional shares on Thursday, worth a total of VND218 billion (US$11.8 million), and has increased its charter capital to ,VND1 trillion ($54.1 million).
The shares were privately sold to three investors at a price of VND20,000 ($1.10) per share, higher than their September book value of VND18,162 and over 80 per cent of the average price during 10 straight trading sessions on the Ha Noi exchange between December 3 and 16.
KLS shares ended Thursday public trading at a price of VND20,100 per share.
"The investors are quite content with the sale price which they regard as the rock-bottom price for the share," said KLS deputy director Pham Vinh Thanh.
The main purpose for the increase in capital was to strengthen the company’s financial and technological capacity, Thanh said.
"Reinforced financial capacity will enable the company to underwrite more valuable deals," he added. "And the possibility of regulated margin trading next year requires our company to increase its capital competence."
The brokerage increased its charter capital to VND891 billion ($48.2 million) in September through bonus share issue. It projects a net profit of VND300 billion ($16.2 million) in 2009, meeting a target set earlier in the year.