Van Phu – Invest (HoSE: VPI) will see VIAC Limited Partnership Fund (a subsidiary of Vietnam Oman Investment) become a major VPI shareholder in the near future after converting bonds into shares.
The cooperation relationship between Vietnam Oman Investment (VOI) and Van Phu – Invest (VPI)
Vietnam Oman Investment (VOI) is well-known in the Vietnamese financial market. Established in 2009, VOI is a joint venture between the Sultanate of Oman Investment Committee and the State Capital Investment Corporation (SCIC). Over the past 15 years, this fund has disbursed nearly US$300 million, focusing on sectors with competitive advantages that contribute to the long-term sustainable development of the Vietnamese economy. These sectors include infrastructure, electricity, education, healthcare, real estate, etc.
Van Phu – Invest (VPI) and Vietnam Oman Investment (VOI) collaborated at the end of 2021 to explore real estate investment opportunities in Vietnam. Accordingly, VOI purchased 690,000 convertible bonds without warrants from VPI, totaling VND690 billion. These bonds have a 3-year term and are backed by 27.225 million ordinary shares of VPI owned by a third party.
As agreed, VOI has the right to convert these bonds into VPI shares upon maturity. The initial conversion price was VND35,000/converted share. Adjustments were specified in the bond purchase registration contract.
VPI said that VPI utilized the capital raised from VOI for key projects, including Phong Phu Riverside (VND453 billion) and BT Saigon (VND100 billion), while the remainder was used for other business activities.
In November, the bond lot will reach maturity. VPI and VOI have agreed to convert the bonds into shares. Accordingly, the adjusted conversion price, as per Clause 6.2 of the contract, is VND23,271 per converted share. The total number of converted shares will be 29.65 million.
At the annual general meeting of shareholders held earlier this year, VPI approved the plan to issue shares for the conversion of the aforementioned bond lot. The 29.65 million shares issued for VOI will represent approximately 9.26% of VPI’s total outstanding shares expected at the time of conversion.
Consequently, after the conversion process is finalized, VOI will officially become a major shareholder in VPI.
Enhancing operational efficiency
VOI and VPI share the same goal of sustainable development. With VOI’s participation, VPI gains one more prestigious major shareholder, enhancing its financial capacity and brand value.
In fact, VPI’s leaders view VOI as a long-term strategic partner, jointly developing Vietnamese real estate, delivering value to consumers, and making practical contributions to society while enhancing operational efficiency for both parties.
VPI is currently the leading enterprise in the Vietnamese real estate market, with a total asset value of nearly VND12,000 billion and an extensive project portfolio spanning the country. Notable projects include the Van Phu urban area, The Terra – An Hung, Grandeur Palace Giang Vo, and Vlasta – Sam Son. The company actively promotes the implementation of key projects such as The Terra Bac Giang and Vlasta Thuy Nguyen in Hai Phong, making significant contributions to addressing the market’s supply needs.
According to the company’s leadership, VPI will steadfastly develop real estate over the next 10 years, focusing on the following pillars: Developing a single product line, Vlasta; creating a chain of high-quality resort projects with a distinct identity; undertaking complex, multi-functional high-rise projects in major cities. VPI’s goal for the next 5 years is to double its revenue and profit compared to 2023. Over the next decade, the company aims to achieve approximately US$500 million in revenue.
