Vietnam Airlines to hold extraordinary shareholders’ meeting on December 29
Vietnam Airline Corporation, coded HVN on the stock exchange, said it will organise an unusual shareholders’ meeting on December 29 to seek shareholders’ approval for issuing more shares to current investors to increase its charter capital.
The national flag carrier Vietnam Airlines is among the victims of COVID-19. (Photo: VNA)
Hanoi (VNA) – Vietnam Airline Corporation, coded HVN on the stockexchange, said it will organise an unusual shareholders’ meeting on December 29to seek shareholders’ approval for issuing more shares to current investors toincrease its charter capital.
The government, through the State CapitalInvestment Corporation (SCIC), is holding over 86 percent of shares inthe company, while Japanese aviation company ANA Holdings has an 8.7 percentstake, and other organizational and individual investors own the remainder.
The company will also seek permission to ask shareholdersto provide it with loans at preferential interest rates to help withliquidity.
The corporation, consisting of the national flag carrier, Pacific Airlines andVietnam Air Services Company (VASCO), posted a loss of 10.75 trillion VND (464million USD) in the first nine month of the year. It anticipated over 15trillion VND in loss for the whole year 2020.
Earlier, the Government gave out five measures to remove difficulties for thecarrier which ran a risk of losing owner’s equity due to impacts of COVID-19outbreak.
In an urgent support for Vietnam Airlines, the Government asked the State Bankof Vietnam to refinance a maximum of 4 trillion VND at a zero interest rate forcommercial banks to lend to the corporation to serve its business operation.
Besides, the corporation is allowed to issue shares worth around 8 trillion VNDfor existing shareholders. The Government has assigned the State Capital Investment Corporation (SCIC) to buy sharesof Vietnam Airlines.
The Government’s measures were approved by the NationalAssembly in its resolution 135/2020/QH14./.
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The national flag carrier Vietnam Airlines is among the victims of COVID-19. (Photo: VNA) 
