HCMC – Kinh Bac City Development Holding Corporation has announced a plan to issue 250 million KBC shares via private placement to raise funds, chiefly for debt restructuring.
The share issue represents 32.57% of Kinh Bac’s outstanding shares. The company has set a minimum price of VND16,200 per share, while the highest price is capped at 80% of the average trading price over 30 consecutive sessions prior to regulatory approval.
The State Securities Commission is expected to review the plan, with the issuance projected to take place between the first and third quarters of 2025.
Kinh Bac aims to raise VND6.25 trillion through the share issue. Of this, VND6.09 trillion will be used to restructure the company’s debt, with disbursement to be made this year. The remaining VND160 billion will support working capital.
The company has named 10 prospective investors for the private offering. SGI Fund Management JSC is expected to purchase 48.97 million shares, followed by individual investors Pham Khanh Duy and Trinh Bao Duy Tan, who plan to buy 39 million and 38 million shares, respectively. Other buyers include Nguyen Hong Nhung and Nguyen Hoang Thanh Thanh, each set to acquire 35 million shares, and VPBank Securities, which is slated to buy 20 million shares.
If completed, the 10 investors will collectively hold 28.52% of Kinh Bac’s charter capital. None of the buyers will become a major shareholder, allowing them to sell their shares after a one-year lock-up period.
The share sale is part of Kinh Bac’s broader effort to address its financial obligations. By restructuring its debt and bolstering working capital, the company seeks to stabilize its operations and prepare for future growth.
Closing the trading session today, January 21, KBC edged down by 0.68% to VND29,350 per share, with a matching volume of over 4.3 million shares.
The benchmark VN-Index dropped 3.46 points, or 0.28%, to settle at 1,246.09 points, as losers outnumbered gainers on the Hochiminh Stock Exchange at 240 to 147.
Stock trade on the southern market rose by over 12% in volume and 15% in value over the previous session, with 495.6 million shares worth around VND11.5 trillion changing hands. Block deals accounted for 116.4 million shares valued at VND2.97 trillion.
The VN30-Index, which tracks the 30 largest-cap stocks, also ended 0.16% lower over the session earlier to 1,314.81 points.
POW dropped the steepest, losing 1.7% to VND11,400 per share. Other notable decliners included HDB (-1.5%), TPB (-1.3%), and GVR (-1.1%). HDB had the highest trading volume on the bourse with 13 million shares.
On the other hand, SSB advanced 2.5% to VND18,400, while VIC, STB, MSN, and MWG recorded small gains. Several blue-chip stocks, including CTG, VPB, SHB, and VHM, ended flat.
On the Hanoi Stock Exchange, the HNX-Index closed almost unchanged at 221.68 points, down 0.01 point over the previous session. The exchange saw 74 gainers and 82 decliners, with a trading volume of 45.2 million shares valued at VND683.7 billion.
