Week 25/09 – 29/09

bcg.vn, bmp.vn, ctd.vn, hdb.vn, kbc.vn, mwg.vn, nvl.vn, pdr.vn, vjc.vn, vpb.vn

Corporate

BCG VN: BCG Land (a subsidiary of BCG) was forced to pay VND32 bn in taxes.

BMP VN: received a penalty and tax collection decision from the General Department of Taxation issued on September 13th with a total amount of VND8.6 bn.

Comment: Two Plc’s being hit with taxes, well then…does the country have cash flow issues?

CII VN: is working with a number of international financial institutions rated AA- by Fitch to guarantee payment for the bonds that CII plans to issue with a total value of nearly VND2,400 bn with a term of over 10 years. At the same time, CII plans to issue convertible bonds to existing shareholders with a term of 10 years with a total value of VND4,500 bn.

CTD VN: announced the draft business plan for the fiscal year 2024 with a target revenue of VND17,793 bn and PAT of VND274 bn (2.6 times and 5.2 times higher than the actual target in 2023, respectively).

Comment: I wouldn’t be surprised…the only q is how much leakage there will be from actual cash profits?

HDB VN: announced registration information to sell 8 mn VJC. Expected trading time is from September 26th to October 24th by order matching or Put Through method.

Comment: Remember these two are owned by the same HoldCo. Does this imply that VJC is going to finally do the massive equity recap that is needed?

KBC VN: together with Saigontel, Energy Capital Vietnam Company and Los Angeles Port – United States has agreed to cooperate in research and development of the Nam Do Son General Port project in Hai Phong city.

MWG VN: GIC and some Thai investors want to buy 20% of Bach Hoa Xanh shares, valuing them at $1.7 bn, according to Reuters.

MWG VN: recorded, in August, revenue of VND9,965 bn (-4.3% YoY but +1.6% MoM). For 8M2023, MWG recorded net revenue of VND76,455 bn (-17% YoY), completing 57% of the year plan.

Comment: Still improving MoM and it’s going to keep looking better until 4Q24. And from on the ground folks say, it’s not Central group that’s going in with GIC, so let’s see.

NVL VN: announced the results of pre-mature buyback of two bond lots NVLH2232001 and NVLH2232002 with a total value of VND2,346 bn. The remaining outstanding bond debt for lot NVLH2232001 is VND3,291 bn and for lot NVLH2232002 is VND137 bn.

Comment: This is becoming such a mess….I’m calling it a brain dead patient kept alive on a respiratory.

PDR VN: completed buying back all VND135 bn of outstanding bonds of the bond lot code PDRH213006 which has total value of VND270 bn.

VJC VN: approved the private issuance of VND2,000 bn in bonds to cover operating costs of petroleum, port costs, flight operations, engineering, salaries, insurance, aircraft deposit payments and other expenses.

Comment: b-b-b-b-b-ut the outstanding legal cases?

VPB VN: The son of Chairman – Ngo Tri Trung- has registered to buy 70 mn VPB shares (1.04% of the current outstanding shares) from Oct 2nd to Nov 2nd. If the transaction is successful, Chairman and his family members will own about 16.5% of VPB’s shares..

Comment: That’s quite a lot….it’s equivalent to the total FOL available

Country

• In August, seafood export turnover was estimated to reach $846 mn (-15% YoY). For 8M2023, seafood exports reached $5.8 bn (-25% YoY).
• Standard Chartered Bank forecasts that Vietnam’s Q32023 GDP growth will reach 5.1%, up from 4.1% in Q22023.
• South Korea’s second-largest conglomerate is investing US$500 mn in a high-tech biodegradable materials plant in the northern city of Hải Phòng, the first of its kind in South East Asia.
• Due to the risk of an electricity undersupply in 2025, EVN has proposed importing more electricity from Laos. Total capacity of at least 3,000MW by 2025, which may increase to 5,000MW by 2030.
• Urea prices have risen by 10% in September and 30% since July after China banned the export of the fertilizer to keep domestic prices under control.
• Vietnam Stock Exchange (VNX) has been admitted as an official member of the World Federation of Stock Exchanges (WFE). This is an important step in the integration process of VNX and its subsidiaries (HOSE, HNX) will also receive the same benefits as official members.
• Vietnamese pangasius exports to Germany dropped by 18% in August to more than US$2 mn. According to VASEP statistics, pangasius exports to the Central European nation during the eight-month period increased by 19% to US$23 mn against the same period last year.
• On September 27th, the State Bank (SBV) continued to withdraw an additional VND20,000 bn through the 28-day T-bill with an interest rate of 0.65%/year. Thus, in 5 consecutive trading sessions, the SBV has withdrawn nearly VND70,000 bn through the T-bill channel.
• In Q32023, there were 10 businesses operating in the real estate sector that announced successful capital mobilization through the issuance of private bonds with a total value of about VND27,000 bn (+VND6,000 bn QoQ and +VND8,000 bn YoY).
• On September 28th, the SBV continued to withdraw nearly VND20,000 bn through the 28-day T-bill with an interest rate of 0.7%/year. Thus, in 6 consecutive trading sessions, the SBV has net withdrawn nearly VND90,000 bn.
• Agricultural, forestry and fishery export turnover in September was estimated at $4.8 bn (+22% YoY). For 9M2023, the total export turnover of agriculture, forestry and fishery products is estimated to reach $38.5 bn (-5% YoY). The trade balance of the agricultural sector has a trade surplus of more than $8 bn (+22.5% YoY).