FPT set to trade shares abroad
FPT set to trade shares
Software likely to list on Singapore exchange
information technology group FPT looks set to list on an international stock
exchange as it yesterday signed an auditing deal with KPMG, one of the world�s
Big Four auditing firms.
KPMG will audit FPT�s
financial reports in 2007, including those of three branches, five subsidiaries,
one university, five training and trading centers and units that may be set up
this year, a move which FPT said would allow it to join international capital
FPT also decided to select
KPMG as an auditing agency for it in 2008 and 2009. Since it went public in
2002, FPT has had its annual financial reports audited by local companies.
KPMG, under the deal, will
also give advice to FPT � which debuted on the local bourse in mid-December last
year creating a market value of around US$1.5 billion � to improve the financial
reporting and control process.
FPT chairman and CEO Truong
Gia Binh said his company was considering a number of regional and world capital
markets before it chose one for listing. �A detailed overseas listing plan must
be weighed by the board of directors and a consensus must be reached at a
general shareholders� meeting.�
He said FPT�s affiliates
were also taking necessary steps to participate in international capital markets
and that FPT Software, where FPT holds a 72% stake, was an example.
An FPT official told the
Daily by phone that FPT Software was eyeing Nasdaq in the United States, the
Tokyo stock exchange or the Singapore exchange.
The Singapore exchange is
emerging as most favorite as Singapore is geographically near Vietnam, the
official noted. FPT Software last year reported total software export revenue of
US$20 million, up 90% year-on-year, and plans to scale it up to US$30-35 million
Despite the unavailability
of a financial report for 2006, Binh said, FPT obtained total revenue of VND11.5
trillion (US$719 million), up from more than US$517 million in 2005, and that
its profit was 10% higher than forecast.
�2006 was a successful year
for FPT although the strategy for certain fields of business did not produce as
good results as expected,� he said. �Mobile phone and hardware sales grew
strongly and made up a majority of FPT�s sales while the company wanted strong
growth in telecom and software spheres.�
FPT made an enthusiastic
debut on the HCMC Securities Trading Center in the middle of December, with 60.8
million shares traded for VND400,000 each.
FPT is the nation�s market
leader in mobile phone distribution, systems integration, software outsourcing
and development, telecom, Internet and e-media content and computer assembly.
company employs 5,000 people and has booked an average of 70% annual growth over
the past five years.