(Ho Chi Minh City, July 10th, 2019) - Resolution dated July 9th, 2019 of the Board of Directors of Vietjet Aviation Joint Stock Company (HOSE code: VJC) approved buying back up to 25 million shares (equivalent to 4.61% of its charter capital) as treasury shares. The transaction will be carried out by the matching orders or agreement method on the exchange after obtaining approval from the State Securities Commission.
The fund buying treasury shares is from the capital surplus and undistributed profit after tax, which is plentiful with over VND9,964 billion.
According to international experts and consulting institutions, the market price of VJC shares is lower than their real value and does not reflect the company's truly leading position and growth potential. Therefore, buying back shares is aimed at reducing the number of outstanding shares, supporting transactions and increasing shareholder value.
Specifically, at the end of the first quarter of 2019, Vietjet reached VND13,636 billion revenue and VND1,647 billion profit before tax. Comparing to the 2019 plan, the company has completed 26.5% of the profit plan.
Due to its high and continuous growth, good business performance, Vietjet has increased its 2018 cash and bonus share dividend rate to 55%. Vietjet was ranked at the 22nd on the world's top airlines list for financial indicators of Air Finance Journal.