Three investors confirmed to buy 130 million shares of Hoang Anh Gia Lai

After being approved by the State Securities Commission, Hoang Anh Gia Lai Joint Stock Company (HAGL Company, code HAG - HoSE floor) continues to receive purchase registration papers from investors.

HAGL Company said it received official registration papers to buy individual shares from 3 investors. Of which, Thaigroup Corporation will buy 52 million shares; LPBank Securities Corporation will buy 50 million shares; and Mr. Le Minh Tam will buy 28 million shares.

Previously, on February 15, HAGL Company said it had received a document from the State Securities Commission approving the registration dossier for private stock offering.

Hoang Anh Gia Lai Company will implement the offering according to the approved documents and report the results of the private share issuance.

It is known that after many adjustments to the organizational structure participating in the issuance and capital usage plan, in January 2024, Hoang Anh Gia Lai finalized the plan to issue 130 million individual shares at a price of VND 10,000/share, mobilizing VND 1,300 billion.

Previously, also related to the private offering, HAGL approved the adjustment of the plan to offer 130 million private shares. In particular, the list of investors participating in the offering is expected to include 3 investors: LPBank Securities JSC plans to buy 50 million shares, increasing ownership from 0% to 4.73% of charter capital; Thaigroup Corporation plans to buy 52 million shares, increasing ownership from 0% to 4.92% of charter capital; and investor Le Minh Tam (replacing Mr. Nguyen Duc Quan Tung) plans to buy 28 million shares, increasing ownership from 0% to 2.65% of charter capital.

In addition, regarding the purpose of capital use, first, priority will be given to repurchasing in advance the entire principal and interest of bonds issued by the Company on June 18, 2012, code HAG2012.300, estimated value of VND 346.7 billion; second, priority will be given to restructuring debt for the subsidiary, Lo Pang Livestock Joint Stock Company, through the form of lending to pay off debt at Tien Phong Commercial Joint Stock Bank with the amount of VND 253.26 billion; and finally, if there is still any remaining, VND 700 billion will be used to supplement working capital and restructure debt for the subsidiary, Hung Thang Loi Gia Lai Company Limited.

Hoang Anh Gia Lai fined for violating information disclosure

It is worth noting that previously, on February 6, 2024, the State Securities Commission issued a Decision on administrative sanctions against Hoang Anh Gia Lai Joint Stock Company, a unit located at 15 Truong Chinh, Phu Dong Ward, Pleiku City, Gia Lai Province.

Of which, a fine of 92.5 million VND was imposed for the act of not disclosing information that must be disclosed according to legal regulations.

HAGL Company did not disclose information to the Hanoi Stock Exchange (HNX) about the Report on the use of capital from bond issuance in 2021; Report on the payment of principal and interest of bonds in 2021; Report on the use of proceeds from bond issuance in 2022 and audited semi-annual report on 2023.

In addition, HAGL Company did not timely disclose information to HNX about the Report on the payment of interest and principal of semi-annual bonds in 2022; Report on the use of proceeds from the issuance of semi-annual bonds in 2022.

In addition, for the act of disclosing false information when HAGL Company disclosed false information about the number of shares expected to be distributed to Viet Cat Fund Management Joint Stock Company.

In particular, on April 23, 2024, HAGL Company announced the Board of Directors Resolution No. 07/22/NQ-HĐQT/HAGL dated April 22, 2022, in which the number of shares expected to be distributed to Viet Cat Fund Management Joint Stock Company is 47,619,047 shares. However, on November 23, 2023, the Company announced the Board of Directors Resolution No. 22/23/NQ-HĐQT-HAGL dated November 22, 2023, in which the number of shares expected to be distributed to Viet Cat Fund Management Joint Stock Company is 60,000,000 shares.

The penalty for publishing false information is 150 million VND and at the same time forcing correction of the published false information.

Profit of 1,817.4 billion VND in 2023

In terms of business activities, in the fourth quarter of 2023, HAGL Company recorded revenue of VND 1,897.9 billion, an increase of 15.8% over the same period, and recorded profit after tax of VND 1,107.7 billion, an increase of 376.8% over the same period last year. In particular, gross profit margin decreased sharply from 26.1% to only 11.4%.

During the period, gross profit decreased by 49.1% compared to the same period, equivalent to a decrease of VND 209.87 billion, to VND 217.25 billion; financial revenue increased by 265.1%, equivalent to an increase of VND 214.2 billion, to VND 295 billion; financial expenses recorded a negative VND 995.8 billion compared to the same period, a positive VND 421.3 billion, or a decrease of VND 1,417.1 billion; sales and business management expenses recorded a positive VND 161.3 billion compared to the same period, a negative VND 162.4 billion, an increase of VND 323.7 billion; other profits recorded a loss of VND 254.4 billion compared to the same period, a loss of VND 34.7 billion, or an increase of VND 219.7 billion.

Thus, in the last quarter of 2023, although gross profit decreased sharply, profit after tax increased sharply, mainly due to increased financial revenue, as well as reduced financial costs.

It is known that in the explanation, financial revenue increased mainly due to recording 240.3 billion VND of profit from liquidating investments; and financial expenses decreased mainly due to a decrease in exempted loan interest with an amount of 1,424.7 billion VND.

Explaining the fluctuation in financial costs, the Company said it was exempted from interest on loans from the Vietnam Export Import Commercial Joint Stock Bank.

Accumulated in 2023, HAGL Company recorded revenue of VND 6,932.2 billion, an increase of 35.6% over the same period, after-tax profit recorded a profit of VND 1,817.4 billion, an increase of 61.6% over the same period.

It is known that in 2023, HAGL Company plans to have net revenue of VND 5,120 billion and after-tax profit of VND 1,130 billion. Thus, by the end of 2023, HAGL Company has exceeded 60.8% of the profit plan of VND 1,130 billion.

Source