Mall operator Vincom has raised $708m in its initial public offering, marking the biggest ever domestic flotation in Vietnam.

The company sold 397m shares at 40,600 dong ($1.79) apiece, the top end of the price range that was projected by its underwriters. The amount raised was more than twice as much as any previous IPO on the Ho Chi Minh stock exchange

Warburg Pincus, the private equity group, will be one of the big winners in the offering, with its 4.8tn dong ($211m) investment more than doubling in value as it sells off some of its stake in Vietnam’s biggest mall operator.

Vincom intends to list its shares on November 6.

Citi was one of the joint global co-ordinators on the deal, with Credit Suisse and Deutsche Bank. Saigon Securities acted as joint manager.

The group has plotted an aggressive expansion on the hopes that a young population and higher disposable income will boost demand for foreign brands.

In its prospectus, the company said that it aimed to operate 200 malls by 2021 “subject to market demand and the availability of suitable sites” — almost five times its existing 41 sites.

Image source: Bloomberg

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