Viettel eyes additional capital to widen footprint

7 May 2013

Vietnamese telecoms company Viettel Group is aiming to add around USD300 million to its charter capital this year in a bid to boost its overseas investment, Vietnam Plus cites a report by local newspaper Dau Tu as saying. Under the investment plan, which mainly focuses on the African market in the 2013-18 period, Viettel is aiming to expand its investment to between ten and 15 markets, thereby increasing the number of subscribers by 50-70 million per year and lifting revenue by 30%-50% and profit by 50% per annum. The report adds that to obtain the additional capital, the company is likely to issue nearly 613 million common shares at a price of VND10,000 (USD0.48) each in the third quarter of this year. Amid slowing growth of its domestic mobile operations, the Hanoi-based company has significantly widened its international footprint in recent years, placing a particular focus on emerging markets, which it claims has helped it to become one of the fastest growing telecoms operators in the world, notes TeleGeography’s GlobalComms Database. Outside of Vietnam, Viettel has launched services in neighbouring Cambodia (via its wholly owned Metfone unit) and Laos (Unitel, in which it holds a 49% stake), as well as further afield in Haiti (Natcom, 60%), Mozambique (via majority owned unit Movitel) and Timor-Leste (Telmor), and the group has also secured telecoms licences in Peru and Cameroon, while it is also looking at entering the mobile market of Myanmar.

Vietnam, Viettel Group