- Vingroup and Green City Development hold 146.6 million shares, equivalent to 88% of the capital.
- Transactions were made via negotiation on August 3 with a value of over VND 899 billion.
Green City Development Joint Stock Company bought nearly 7.8 million VEF shares of Exhibition Center Corporation ( UPCoM: VEF ). Along with the parent company Vingroup (VIC), Green City Development increased its holdings to 146.6 million shares, equivalent to 88% of capital.
The above transaction was done via an agreement method on August 3. The total value reached more than 899 billion dong, equivalent to 115,900 dong / share, nearly 2% higher than the closing price that day.
At the end of March, VEF’s share price reached 52,000 dong / share and increased by 1.2 times to 114,000 dong after 5 months. Liquidity was low, only tens of thousands of shares / session. In addition to Vingroup, the Ministry of Culture, Sports and Tourism is also a major shareholder when holding 10% of the capital.
In early August, the company held shareholders’ written opinions. Accordingly, shareholders approved investment policy in 4 projects invested by the Company with a total investment capital of 78,745 billion VND.
The first project is the National Exhibition Fair Center in Dong Hoi commune, Xuan Canh commune, Dong Anh district, Hanoi. Total estimated investment capital is 7,336 billion, the implemented capital is 15% of the investor, the rest is borrowed capital and other mobilized capital. The investor’s form of capital investment does not use the State budget. The project is expected to start construction in the fourth quarter of 2020 and be completed in the third quarter of 2024.
Second, Dong Anh new urban area project in Xuan Canh commune, Dong Hoi commune, Mai Lam commune, Dong Anh district, Hanoi. Total estimated investment capital is about 34,879 billion, contributed capital to implement the project is 15% of investor, 85% loan and other contributed capital. Project progress from 2020 to 2025.
The Complex of Commercial and Housing Service Center at 148 Giang Vo, Hanoi has a total estimated investment capital of 17,440 billion VND, of which investors contribute 20% of the capital, 80% of the remaining capital is borrowed and mobilized. other methods.
The project of Urban Thang Long Urban South Avenue in Me Tri Ward, Trung Van Ward, Phu Do Ward, Nam Tu Liem District, Hanoi is expected to be invested nearly 19,090 billion VND with 15% capital contribution, loan and other legally mobilized capital 85%.
Regarding the second quarter business results, the company reported a profit after tax of 16.5 billion dong, up 23% compared to the second quarter of 2019. Profits mainly come from deposit interest. As at 30/6, the company has 4,904 billion dong of one month term bank deposits, while at the beginning of the year it was only 11 billion dong. This amount is also equivalent to VND 4,900 billion that Vingroup has advanced for the company to increase capital according to the stock issuance plan.
Meanwhile, the main business activity has almost no revenue. Under-cost business also caused a gross loss of nearly 3 billion VND.
In the first 6 months, the enterprise has 3,660 billion dong in revenue, down by 19.5% but after tax profit is 29 billion dong, up by 32%. The company exceeded its revenue target but did not set a profit plan for this year.