Vietnam Industrial sells subsidiaries for $10.8m

PERTH-BASED Vietnam Industrial Investments Ltd has announced plans to sell its stake in two subsidiaries, concrete-reinforcing steel bar producers Vinausteel Ltd and Ssesteel Ltd to Tata Steel subsidiary NatSteel Asia for an expected $10.8 million. The net purchase consideration payable to VII will be determined following a post completion audit, though a share deal is expected to be a part of the agreement. VII, which holds a 70 per cent stake in Vinausteel and 100 per cent of Ssesteel, will retain its 67 per cent stake in roofing and wall cladding producer Austnam Joint Stock Corporation, 97 per cent holding in building systems provider Total BuildingSystems Ltd, and total ownership of weldmesh company VRC Weldmesh (Vietnam) Ltd. The company said in an announcement it was investigating other opportunities to enhance shareholder value.