Capital flows into IPO decline

VNStockNews.com - Investors show less interest in first public offerings (IPO) of State-run companies although the stock market has revived over the past months, said the Vietnam Association of Financial Investors (VAFI).

Vietnam’s equitization process of State-owned companies has been at a standstill. VAFI said that investment in listed companies was expected to come down as fewer State-run firms were posting good results.

Enterprises will launch more IPOs when the stock market recovers but will consider the effects of the investments, VAFI said.

VAFI said that the local economy had bottomed out in the first quarter but had begun to recover. Local companies have also stabilized and developed business activities.