Week 12/06 – 16/06

Company

acb.vn, ctr.vn, hah.vn, hax.vn, hdb.vn, hsg.vn, gex.vn, gmd.vn, lpb.vn, mwg.vn, nvl.vn, pdr.vn, plx.vn, ree.vn, vhc.vn, vib.vn, vic.vn

ACB VN: issued a resolution on early redemption of the 4th private placement bond in 2021 (including ACBH2124005, ACBH2124006, ACBH2124011 and ACBH2124012) with a maximum par value of VND10,000 bn.

Comment: Now whilst the banks (and other companies) are clever to do this, how much credit growth/additional liquidity has this taken out of the banking system?

CTR VN: recorded, in 5M2023, revenue of VND4,149 bn and PBT of VND238 bn (+21% and +23% respectively YoY), fulfilling 40% of the revenue plan and 39% of the profit target. In May, CTR’s revenue is estimated at VND873 bn and PBT is VND51 bn.

HAH VN: will continue the project of building 3 new ships of 1,800 TEU (Bangkok Mark IV) with an estimated investment of VND2,000 bn and to implement Depot investment project in Cai Mep area with an estimated value of VND300 bn. Also, HAH plans to pay dividends in 2022 at the rate of 50% in shares and wants to issue a maximum of VND500 bn.

HAX VN: announced the closing of the right to pay dividends in 2022 in cash and shares (at the rate of 5% and 25%, respectively). The last registration date is June 22nd.

HDB VN: Moody’s announced to maintain HDB’s deposit credit rating and issuer rating at B1, saying that HDBank’s bad debt ratio is lower than the industry average, effective.

HSG VN: closed June 27th as the last registration date to receive dividends for the year 2021-2022 at the rate of 3%. The corresponding ex-rights date is June 26th. Dragon Capital has just bought 2.5 mn HSG shares to raise its ownership from 4.79% to 5.2% of charter capital.

GEX VN: Dragon Capital (DC) sold more than 3.7 mn GEX shares. After the transaction, DC’s owner ship has decreased to 4.99% of charter capital.

Comment: I wonder how much of DC’s selling is due to redemptions at the funds level?

GMD VN: decided to implement phase 2 of Gemalink Port to increase the capacity to 3 mn TEU/year with total investment capital of $300 mn.

Comment: And they did finally get rid of that stupidly low price for the rights offering. 

LPB VN: will offer a total of 32.9 mn bonds in the second phase with a par value of VND100,000 /bond. This includes 29.4 mn bonds LPB7Y202203 with 7-year term and nearly 3.5 mn bonds LPB10Y202204 with 10-year term.

MWG VN: announced to buy back more than 450,000 treasury shares in June and July, after buying back 366 thousand treasury shares in May 2023.

Comment: BOOM!

NVL VN: registered to sell nearly 136.4 mn shares on June 13th to balance its investment portfolio and support debt restructuring.

PDR VN: proposes to build an 805-ha service-urban industrial park in Dung Quat, Quang Ngai province.

PLX VN: recorded, in Q12023, revenue of VND67.43 tn and PBT of VND838 bn, fulfilling 35.4% of the revenue plan and nearly 26% of the PBT plan.

REE: The company reduced its stake in PPC by 0.41% (investment cost of VND9,750/share). It also registered to sell an additional 0.62% from 15 June to 13 July (reducing to 23.11%; equivalent to 7 days of PPC’s daily trading volume). This divestment is in-line with the company’s long-term focus on renewable energy.

VHC VN: recorded, in May, revenue of VND954 bn (-37% YoY). For 5M2023, VHC’s total revenue reached nearly VND4,100 bn.

Comment: Now you’re seeing MoM improvements, in 1-3 months, due to the low base effects in 2H22, the “growth” will look impressive

VIB VN: announced that the last registration date of bonus shares at the rate of 20% will be June 23rd and ex-rights date is June 22nd.

VIB VN: signed a new loan of $100 mn from IFC, bringing the total credit limit granted to VIB by IFC to $450 mn.

Comment: Ah this communist project, ah sorry I meant social housing, wait, what’s the difference?

VIC: The company plans to invest USD783mn in an ecological urban complex on the Vu Yen Island (Haiphong). It will add the Vu Yen-May Chai bridge, expand the residential land area and increase housing development (2 land plots designated for social housing). The project will supply 16,847 low-rise houses and 3,398 villas.

Country

• State budget collection in the January-May period was estimated at over VND769.6 tn (US$32.75 bn), equivalent to 47.5% of the estimates for the whole year. Although the domestic revenue in the reviewed period was quite good compared to the estimates, the monthly tended to decrease as the January collection reached 14.7% of the estimate, February 7.7%, March 8.9%, April 9.9%, and May 6.4%.
• The total export value of Vietnam, in 5M2023, reached $135.22 bn (-12.3% YoY). The total import value of the whole country reached $125.57 bn (-18.4% YoY).
• Many hydroelectric dams in the north continue to languish without water, and have been forced to either stop power generation or run well below capacity.
• Thermal power plants in northern Vietnam are short of over one mn tons of coal for power production for this and next month, which could intensify electricity shortage in the region.
• The credit package to support businesses in Ho Chi Minh City has disbursed VND117,000 bn, equal to 25.8% of the credit package registered by banks in 2023.
• The Government directed the Ministry of Finance (MoF) to submit solutions to handle existing issues of the corporate bond market before close of business day. This directive is part of Resolution 88/NQ-CP which requires the MoF to closely monitor the situation and propose practical solutions. In 5M 2023, companies mobilized USD1.3bn from 26 corporate bond issuances.
• Vietnam’s northern city of Hai Phong approved 4 South Korean-invested projects with a total investment of USD230mn, per local media. Investment certificates were granted to Bumhan Vina Heavy Industries (industrial equipment), Haewon Vina (metal casting), Hala Electronics Vina (electronics) and EST Vina HaiPhong (electronics).
• Xiamen Hithium Energy Storage Technology is in talks with local authorities and industrial parks in Vietnam to potentially invest up to USD900mn in an energy storage system and battery plant on more than 30 hectares area. Growatt New Energy, a Chinese producer of battery systems and energy storage inverters for residential and commercial use, is also looking to set up a new factory in Vietnam with investment estimated around USD300mn.
• Auto sales in May fell by half year-on-year, the second monthly decline in a row, as consumers continued to tighten spending. Over 20,700 units were sold by members of the Vietnam Automobile Manufacturers Association (VAMA) last month, a 53% drop from May last year.
• The value of bonds bought back by businesses before maturity since the beginning of the year increased 70.6 % year on year with a total value of VND76,523 bn (US$3,293,043).
• People made total deposits of VND415 tn (US$17.58 bn) at banks in 1Q, the biggest amount in more than 10 years, according to the State Bank of Vietnam. On average, in the last 7-8 years, deposits of individual customers at banks in 1Q of a year was only VND150 tn. Individual deposits in the banking system at the end of March were VND6.28 quadrillion, up 7% over the beginning of this year.