Vinatex holds first shareholders' meeting

13 Jan '15

2 min read

The Vietnam National Textile and Garment Group (Vinatex) held its first shareholders’ meeting last week in Hanoi city.

This was the first meeting after the company successfully issued its initial public offering (IPO) in September last year, when more than 90 per cent of shares were bought by investors, with nearly half of them being purchased by foreign investors.

The meeting appointed a seven-member Board of Directors, who elected Tran Quang Nghi as the chairman and appointed Le Tien Truong as CEO of the Group.

The meeting also elected a five-member Supervisory Board, which subsequently elected Ms Nguyen Thi Minh Hien as its head.

At the meeting, Bui Xuan Khu, former deputy minister of industry and trade urged shareholders to positively contribute for the growth of the company; helping it break-out from the old method of working as a state corporation, and develop at a greater speed.

Deputy minister of industry and commerce Ho Thi Kim Thoa said the success of Vinatex’s IPO and gaining consensus in the first shareholders’ meeting demonstrate that investors are interested in future long-term profit and development of the company, and are not looking at earning immediate profit.

She said that her ministry will continue to support Vinatex in its strive towards exceeding revenue targets and earning higher profit margins.

Vinatex has made a paradigm shift at a time when the Vietnamese textile industry is presented with opportunities to grow in leaps and bounds. While Vietnam has recently entered into free trade agreements with Korea and the Customs Union of Russia, Belarus and Kazakhstan, negotiations for the 12-member trans-pacific partnership (TPP) are in active phase.

In 2014, Vinatex continued strong growth and its sales reached 51 trillion dong, showing an increase of 13 per cent compared to 2013. For the current year, Vinatex has set a target to achieve revenue growth of at least 12 per cent. The company already has enough orders to last for the first half of this year. (RKS)

Fibre2fashion News Desk - India

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