HCMC – Vietnam Electricity Construction Joint Stock Corporation (VNECO) plans to sell nearly 8.38 million treasury shares, representing 10.2% of its outstanding shares, to increase the company’s working capital.
The sale, scheduled for the third and fourth quarters of this year, will be conducted through matching orders and block deals. VNECO has not disclosed the expected sale price but said it will follow the trading regulations of the Hochiminh Stock Exchange (HOSE).
On July 16, the State Securities Commission (SSC) fined VNECO VND65 million for late information disclosure. The violations involved delayed publication of consolidated and individual financial statements for Q4 2022, audited financial statements for 2022 and 2023, and explanations for differences in the 2023 audited financial results.
The SSC also fined VNECO VND125 million for unauthorized transactions involving members of the management board.
On February 8, 2022, VNECO signed a contract with Phuoc The Clean Energy Investment and Development Service Trading Company (AGECO) for construction work on the Phuoc The-Binh Thuan Wind Power Plant. The contract was not approved by VNECO’s annual general meeting of shareholders or its board of directors.
The involved parties include Nguyen Anh Tuan, chairman of VNECO’s board of directors and chairman of AGECO’s board of members, and Nguyen Thi Hoang Oanh, a member of VNECO’s Supervisory Board and general director of AGECO.
The firm was fined a total of VND190 million for these violations.
Closing the trading session today, July 22, its VNE shares edged up by 1.88% to VND4,890 per share.
The VN-Index of the HOSE dropped by 10.14 points, or 0.80%, to close at 1,254.64 on Monday, as a broad sell-off hit the market.
Losers far outnumbered winners by 350 to 96. Trading volume and value rose 16% and 14%, respectively, over the previous session, with over 923.6 million shares worth VND21.1 trillion changing hands. Block deals totaled more than 89.2 million shares valued at VND2 trillion.
The VN30-index, which tracks the 30-largest cap stocks, dipped 3.01 points, or 0.23%, to 1,299.31 points, with 12 advancers and 15 decliners. Three stocks – VPB, BID, and VIC – stayed at their reference prices.
GVR fell the steepest at over 5% to VND32,750. Other bluechips MWG, VIB, HPG, and MBB saw losses of between 0.5% and 1.5%. BVH dipped by 2.2% to VND44,750.
On the other hand, the VN30-index received support from stocks such as VCB, CTG, SAB, and MSN. These stocks posted slight gains, with MSN leading with a 1.6% increase to VND72,200.
Mid- and small-cap stocks followed the morning session’s sell-off trend, particularly in the securities sector. Several securities stocks dropped more than 2.8%.
Meanwhile, real estate and industrial stocks were among the hardest hit, with EVG, KPF, TIP, and QCG plummeting to their floor prices. Developer NVL dropped by 6.3% to VND11,150 and was the most actively traded stock on the exchange at over 39 million shares.
Stocks in other sectors also came under strong selling pressure, falling by between 4% and over 6%.
The HNX-Index of Hanoi Stock Exchange also declined, dropping 2.14 points, or 0.89%, to 238.38 points, with 60 stocks gaining and 118 others dipping. The total trading volume on the northern exchange exceeded 80.3 million shares valued at over VND1.6 trillion.
