Company update – MWG (Outperform)

Mobile World Investment Corporation – Outperform (MWG : HSX – Retail)
 
• Mobile World Group (MWG; Outperform) has announced that it plans to issue 12,911,921 shares (3.0% of the OS) at par value for its staff which honours the commitments made in relation to the 2017 ESOP.
 
• With this corporate action the foreign room will soon reopen to the tune of 6.32 million shares which is expected to happen sometimes in late December.
 
• HSC forecasts for FY2018 call for 28.4% y/y growth in NPAT. While our FY2019 forecasts call for 28.1% y/y growth in NPAT.
 
• On the 3-5 year view we like MWG as it looks set to consolidate its position as the best retailer in Vietnam. Despite some near-term challenges.
 
• We have a fair value price of VND 138,500 giving us FY2019 forward P/E of 18.0 xs.
 
• Reiterate Outperform.
 
 
 
We thank you for being our client,
en English