How does Angimex explain when AGM stock price hit the ceiling for 5 consecutive sessions?

DNVN - Ho Chi Minh City Stock Exchange requested An Giang Import-Export Joint Stock Company (Angimex) to explain the information about AGM stock price hitting the ceiling for 5 consecutive sessions from September 10-16.

On September 16, Ho Chi Minh City Stock Exchange (HoSE) issued an official dispatch requesting An Giang Import-Export Joint Stock Company (Angimex, stock code: AGM) to announce information about its stock price hitting the ceiling for 5 sessions.

According to HoSE, through monitoring the trading of Angimex's AGM shares, HoSE found that AGM's stock price increased to the ceiling for 5 consecutive sessions from September 10-16, 2024.

Circular No. 96 of the Minister of Finance stipulates: public companies must disclose unusual information within 24 hours of the occurrence of one of the following events: In case the company becomes aware of an event or information that affects the price of its own securities, the company must confirm or correct that event or information.

According to the request of the State Securities Commission, HoSE requires listed organizations within 24 hours from the time the stock price hits the ceiling or hits the floor for 5 consecutive sessions or more to report and publish information related to the company that affects stock price fluctuations.

Angimex must explain why AGM stock price increased to the ceiling for 5 consecutive sessions from September 10-16, 2024.

Accordingly, HoSE has sent an official dispatch requesting An Giang Import-Export Joint Stock Company to disclose information according to regulations.

Responding to this request, Angimex said that currently, according to the market situation, Vietnam's rice exports are still favorable due to increased import demand from traditional customers.

However, India's consideration of easing its rice export policy is seen as a factor that could cause fluctuations in the rice export market later this year.

In addition, super typhoon Yagi has caused severe damage to key crops such as rice and corn in the northern provinces. The risk of food shortages leading to domestic price fluctuations may have increased investors' expectations.

"AGM stock price has increased to the ceiling for 5 consecutive sessions due to supply and demand in the stock market. Investors' trading decisions on AGM stocks are beyond the company's control. Angimex has no impact on the trading price of AGM stocks on the stock market," Angimex stated.

Previously, on August 30, HoSE issued a decision to put AGM shares of An Giang Import-Export Joint Stock Company under control from September 10, 2024.

The reason is that Angimex's accumulated losses exceed the actual contributed charter capital in the 2024 audited semi-annual consolidated financial statements, which is a case of securities subject to control according to the provisions of the Regulations on listing and trading of listed securities.

On September 11, in the announcement of measures and roadmap to overcome the situation of controlled securities, Angimex said it will strengthen the implementation of solutions to overcome the situation of accumulated losses exceeding the actual contributed charter capital.

In particular, the company is actively implementing comprehensive restructuring such as optimizing the management apparatus, streamlining personnel, improving labor productivity and business efficiency, intensifying the collection of bad debts, liquidating assets, and gradually restructuring debts to create profits to reduce accumulated losses.

Continue to seek professional securities investors to carry out procedures for issuing individual shares to increase the scale of equity capital. Thereby supplementing working capital to serve production and business activities according to the Resolution of the Extraordinary General Meeting of Shareholders dated November 5, 2023, thereby overcoming accumulated losses exceeding the actual contributed charter capital.

Or the company issues private shares to convert bond debt into shares for bondholders according to the Resolution of the Extraordinary General Meeting of Shareholders dated November 5, 2023, thereby increasing charter capital and improving financial situation.

In the last months of 2024, the company strives to liquidate some assets, capital contributions, or issue individual shares to have operating resources, creating profits in 2024 to offset losses so that accumulated losses do not exceed charter capital.

Quarterly explain and report on the situation of overcoming the situation of controlled securities and disclose information. At the same time, do not violate the regulations on information disclosure on the stock market.

Regarding business performance, Angimex's audited semi-annual consolidated financial report for 2024 shows that after-tax profit was negative VND98.3 billion, a sharp increase compared to negative VND57.6 billion in the same period last year.

An Giang Import Export Joint Stock Company was established and officially put into operation in 1976, formerly known as An Giang Foreign Trade Company. The company operates in the fields of food production, processing and trading; vehicle trading services (motorbikes, spare parts and services); agricultural materials (fertilizers and pesticides), high-tech agricultural services...

Thu An

Source: https://doanhnghiepvn.vn/kinh-te/chung-khoan/angimex-giai-trinh-the-nao-khi-gia-co-phieu-agm-tang-tran-5-phien-lien-tiep/20240917031640145