London Stock Exchange welcomes Dragon Capital
Dragon Capital, the leading investment management company investing in Vietnam, today lists its flagship fund, Vietnam Enterprise Investments Limited (“VEIL”), on the Main Market of the London Stock Exchange (Ticker: VEIL).
Launched in 1995, VEIL is the largest and longest-running fund focused on Vietnam with a Net Asset Value (“NAV”) of approximately US$890 million. The London listing is expected to create a more transparent and liquid market in VEIL’s shares, widening potential ownership, attracting greater analyst coverage, increasing VEIL’s profile and narrowing the discount to NAV at which the shares currently trade.
VEIL is expected to become a key vehicle for exposure to Vietnam, given its size and equity-only investment mandate, appealing to both institutional and retail investors. Approximately half of VEIL’s NAV is represented by stocks which are at their foreign ownership limits and cannot otherwise be accessed by foreign investors.
In macroeconomic terms, Vietnam has an attractive growth profile. GDP rose 6.7% in 2015 underpinned by strong FDI inflows and a young, expanding and well-educated workforce. The country also stands to benefit from the recent Free Trade Agreement with the EU and the US-led Trans-Pacific Partnership.
Established in 1994, Dragon Capital has approximately 100 employees and more than US$1.31 billion under management across various funds and accounts.
Dominic Scriven, Executive Chairman of Dragon Capital Group, said: “We are delighted for VEIL to become part of the most active and successful market for listed investment companies. With its premium listing, robust governance arrangements and a portfolio management team who have been together for the last 15 years, we believe VEIL provides a strong investment opportunity for both institutional and retail investors.”