HBC and HNG shares delisted from September 6

The last trading day of HBC and HNG shares on HoSE is September 5. These two shares will move to trading on UPCoM later.

The Ho Chi Minh City Stock Exchange (HoSE) has decided to delist two stocks, HBC of Hoa Binh Construction Group Corporation (HoSE: HBC) and HNG of Hoang Anh Gia Lai Agriculture Corporation (HoSE: HNG). Specifically, 347.2 million HBC shares and more than 1.1 billion HNG shares will be officially delisted on HoSE from September 6, 2024. The last trading day of these two stocks is September 5.

Previously, HoSE announced the compulsory delisting of HBC shares due to undistributed profit after tax as of December 31, 2023 being negative VND 3,240 billion, exceeding the company's actual contributed charter capital of VND 2,741 billion.

The reason HNG shares were forced to be delisted is that the company has had 3 consecutive years of losses. According to the audited consolidated financial report, in 2021, HNG company lost more than 1,119 billion VND, in 2022 it lost more than 3,576 billion VND, and in 2023 it lost more than 1,098 billion VND.

After receiving the notice of delisting at the end of July, HBC responded in writing to the management agency and said it did not agree with the grounds for HoSE to compulsorily delist HBC shares of this enterprise. Mr. Le Viet Hai, Chairman of Hoa Binh Group, cited the reasons for the objection as Decree 155 does not provide details on considering the conditions of accumulated losses on the consolidated audited financial statements, or on the separate audited financial statements. Currently, there is no legal document from any competent authority guiding the application or interpretation of the law in this case.

The company's charter capital is VND2,741 billion, while the after-tax profit in the 2023 audited financial statements is negative VND2,401 billion and in the 2023 audited consolidated financial statements is negative VND3,240 billion. Thus, the total accumulated loss of HBC in the audited financial statements has not exceeded the charter capital. In addition, Mr. Hai said that HoSE's consideration of delisting HBC shares based on previous precedents is not in accordance with current law.

Meanwhile, HAGL Agrico and Song Da 6 are subject to delisting due to production and business losses for 3 consecutive years. HAGL Agrico reported losses for 3 consecutive years from 2021 to 2023 of VND 1,119 billion, VND 3,576 billion and VND 1,098 billion, respectively. Song Da 6's after-tax losses in the last 3 years were VND 2.3 billion, VND 11 billion and VND 160 billion, respectively.

As of December 31, 2023, HAGL Agrico's accumulated loss amounted to more than VND 8,100 billion, while its charter capital was VND 11,085 billion. The value of equity reached nearly VND 2,257 billion, accounting for a small proportion of the total capital structure of nearly VND 14,100 billion of this agricultural enterprise.

On the stock market, HBC's stock price closed on August 9 at VND4,970/share, down 39% compared to nearly a month ago. On July 31, Huyndai Elevator Co., Ltd - the second largest shareholder of HBC sold 5 million HBC shares. After the transaction, Huyndai Elevator's ownership ratio at HBC decreased from 8.08% to 6.64%.

Meanwhile, HNG shares are trading at VND4,080/share, down about 23% compared to a month ago. Major shareholders of HAGL Agrico, including Truong Hai Group (27.63%) or Hoang Anh Gia Lai (8.24%), have not made any moves after the Ho Chi Minh City Stock Exchange announced the delisting of HNG shares.

Source: https://baodautu.vn/co-phieu-hbc-va-hng-bi-huy-niem-yet-tu-69-d222127.html