Week 08/01 – 12/01

dxg.vn, fpt.vn, hhv.vn, hsg.vn, mbs.vn, vgc.vn,

Company

DXG VN: approved the policy of borrowing capital, guaranteeing, mortgaging, and pledging assets at banks with a total limit of VND4,700 bn.

FPT VN: wants to invest in an Education – Science and Technology Complex with a scale of 10-20 hectares in Hai Phong.

Comment: It’s becoming an education play that just happens to provide IT services

HHV VN: announced to offer all of 7.1 mn undistributed shares of the offering of 82.3 mn shares to existing shareholders in December 2023.

HHV VN: announced that PYN Elite Fund is the only investor allowed to buy all of the more than 7.1 mn surplus shares in the offering.

Comment: Wait wtf, how can 1 Fund be the only one allowed to do this? Either the headline is incorrect or there’s something funny going on. Effectively there was a share dividend (yay…) and I don’t understand why only 1 investor is “allowed to buy” these “undistributed” shares. HHV is another infrastructure company that should be performing better than what it actually is doing – reminder look at CII VN back then..

HSG VN: plans to IPO a subsidiary: Hoa Sen Plastic Joint Stock Company, expected in period from 2024 to 2026.

Comment: Love management here, they’re so communist it’s amusing.

MBS VN: recorded, in Q42023, revenue of VND540 bn (+33% YoY) and PAT of VND173 bn (+139% YoY). For 2023, MBS recorded revenue of VND1,816 bn (-7% YoY) and PAT of VND584 bn (+14% YoY).

Comment: VN boards “F audited figures, we know our #’s & will annouce them as quickly possible!”

VGC VN: estimated, in 2023, revenue of VND12,993 bn (-11% YoY) and PBT of VND1,593 bn (-31% YoY), fulfilling 82% and 132% respectively of the year’s plan.

Comment: See above

Country

The General Statistics Office (GSO) has projected that 162,500 new businesses will enter the market this year, up by 2% compared to the previous year. An estimated 68,000 suspended businesses may resume operations, a 16% increase against last year.

The government has directed banks to lower costs and further reduce loan interest rates in an effort to expand credit access. Despite a decrease of 2 %age points in loan interest rates from the previous year, Vietnam’s credit growth at 13.71% fell short of the annual target range of 14-15%.

In December, there were 55 private issuances of corporate bonds with a total value of VND42,806 bn. For 2023, the total value of corporate bond issuance is recorded at VND311,240 bn, including 29 public issuances worth VND37,071 bn (accounting for 11.9% of the total issuance value) and 286 private issuances worth VND275,028 bn (accounting for 88.1% of the total).

Standard Chartered Vietnam Bank forecasts Vietnam’s GDP growth to reach 6.7% in 2024 (forecast to reach 6.2% in 1H2024 and 6.9% in 2H2024).

Deposits in the banking system last year soared by 14% year-on-year to an all-time high of over VND13.5 quadrillion. Despite annual interest rates remaining below 6%, funds still flowed into the banking system, instead of real estate, securities and others. Interest rates fell by more than 2.5 %age points against 2022.

The Ministry of Finance has just submitted to the Government regulations to apply a 5% value-added tax rate on fertilizers to increase the competitiveness of domestic fertilizers with imported goods, while narrowing the subjects not subject to this tax.

Property development companies raised over VND73 tn ($3 bn) by issuing corporate bonds in 2023 (+40.8% YoY). Bond issuances topped VND311.2 tn, and were mostly private placements. The banking sector accounted for VND176 tn, followed by property.

In 2023, Ho Chi Minh City’s economic growth reach 5.81% and the total credit balance reach more than VND3.5 mn bn (+9.8% YoY) and accounting for 26.1% of the total credit balance.

In December, 84 individuals of corporate bonds were issued from 28 businesses with a total mobilized value of VND65,943 bn (+71% MoM). The majority of businesses issued came from commercial banks with VND55,086 bn (accounting for nearly 84% of total issuance value).