Vietnam Enterprise Investments Limited (VEIL) is planning to conduct three tender offers for up to 10% of its shares each.
The investment trust has published a circular to shareholders detailing the terms with the initial offer for 10% of the shares opening today (15 December) and runs until 31 December.
The trust intends to make two further tender offers for up to 10% each within 12 months.
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The board will seek shareholder approval for the first deal at the general meeting on 8 January 2026.
If approved, the pricing for the first offer will be confirmed on 20 January and completed on 22 January. The price will be set at a 3% discount to the prevailing adjusted net asset value per share.
The board is taking this step after shareholders voted against a five-yearly discontinuation resolution that would have required the company to wind up on 31 December 2027.
Although it failed, more than 20% of votes cast were in favour of the resolution and against the recommendation of the board.
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Following consultations with shareholders collectively representing 60% of the total, the board concluded it should offer those with a desire to exit and opportunity to do so via this route.
“The board continues to believe the medium-term investment case for Vietnam remains strong and the company represents an attractive access point for investors to gain exposure to the country,” the trust said in its stockmarket notice.
“Vietnam has generated an average real GDP growth of 6% per annum during the period from 2015 to 2024, supported by a burgeoning middle class, urbanisation, accelerating displacement of state-owned enterprises by the private sector, the broadening and deepening of capital markets and the continued expansion of exports.
“Government policies have largely succeeded in combining growth with stability, as shown by the country’s low foreign debt, sound public finances, modest inflation and large external-account surpluses.
“Furthermore, the board believes that the company, as a listed closed-end investment fund, is an optimal structure and vehicle for international investors to access the Vietnamese public market.”
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