Thủ Đức Housing divests from Sen Vàng Securities

June 15, 2021 - 16:36
Thủ Đức is expected to earn about VNĐ15.2 billion (US$662,620) if the deal is successful.
Logo of Thủ Đức Housing on its building in Nguyễn Thái Bình Ward, District 1, HCM City. Photo

HÀ NỘI — Thủ Đức Housing Development Corporation (TDH) has approved a resolution on the policy of divesting capital in the associated company.

Accordingly, Thủ Đức will transfer all 3.04 million shares of Golden Lotus (Sen Vàng) Securities Corporation with the stock ticker GLS, equivalent to 22.49 per cent of the charter capital at Sen Vàng. The deal is to be executed within two months of the policy being approved.

The transfer price is not lower than VNĐ5,000 per unit. At this price, Thủ Đức is expected to earn about VNĐ15.2 billion (US$662,620). 

In the consolidated financial statements, as of January 31, the company recorded an investment of VNĐ11.7 billion (US$510,043) in Sen Vàng, equivalent to VNĐ3,849 per share. Therefore, if the deal is successful even at the minimum price set, Thủ Đức will be profitable.

On the stock market, TDH shares, listed on the Hồ Chí Minh Stock Exchange (HoSE), have been on a downward trend since late 2020 after the real estate developer announced the decision on sanctioning administrative violations and reclaiming VAT refund for 2018 and 2019 amounted to more than VNĐ396 billion (US$12.3 million). 

Thủ Đức has filed a lawsuit at the People's Court of HCM City to consider the cancellation of decisions No. 5438 and 5439 of the Department of Taxation of HCM City. The case is still being considered for settlement according to regulations.

Previously, TDH shares were put on HoSE’s warning list since May 28. The reason is that the company recorded a net loss of more than VNĐ363 billion (US$15.8 million) in 2020 and the accumulated loss as of the end of last year was VNĐ143 billion (US$6.2 million).

On Tuesday morning, TDH shares were traded at VNĐ7,230 per share, down 23.4 per cent from the beginning of this year. VNS