Biwase continues to seek investment opportunities in core industries

Biwase Shareholders' Meeting: Biwase continues to seek investment opportunities in core industries

On the morning of March 25, Binh Duong Water and Environment Corporation (Biwase, code BWE - HoSE) held the 2024 Annual General Meeting of Shareholders.

Speaking at the Congress, Mr. Nguyen Van Thien, Chairman of Biwase, said that in 2023, the general impact of inflation, global economic recession, and conflicts in many regions will make economic recovery after the Covid-19 pandemic more difficult. Many businesses have to close or cut production, leading to a decrease in water consumption and a decrease in waste received.

Mr. Nguyen Van Thien, Chairman of Biwase, reported on business results in 2023 and business orientation in 2024. Photo by Le Toan

“To achieve the 2023 target set by the General Meeting of Shareholders, the Board of Directors and the Executive Board have made efforts to seek opportunities to develop the Company, so the Company's business results in 2023 have increased compared to 2022,” emphasized Chairman Nguyen Van Thien.

By the end of 2023, Biwase recorded total revenue of VND 3,978 billion, reaching 100.2% of the plan, up 2% over the same period; after-tax profit recorded a profit of VND 601 billion; and basic construction disbursed during the year was VND 370 billion. In particular, the water loss rate continued to maintain a record low of 5%.

Talking about outstanding business activities in 2023, Mr. Nguyen Van Thien said that in April 2023, the Company completed negotiations to purchase shares of water supply companies in Long An (4 companies became subsidiaries, 1 company became an associate) and 1 water supply company in Quang Binh also became an associate.

“Under Biwase’s management, the purchased units have all made a profit,” Mr. Nguyen Van Thien emphasized that investments in the water supply industry have begun to make a profit.

In May 2023, Con Voi commercial branch, Con Voi organic fertilizer brand Binh Duong held a launching ceremony for 7 organic fertilizer products with different packaging, names, and uses suitable for all types of crops. The products are licensed for nationwide circulation by the Plant Protection Department, Ministry of Agriculture and Rural Development.

In September 2023, Biwase successfully organized the Biwase brand identity announcement ceremony and the Vietnam Water Week 2023 event.

In December 2023, Biwase will put into operation a 5 MW waste-to-energy plant and an 840-ton/day organic fertilizer production line - phase 4, the inauguration ceremony will be held in January 2024.

“This is a factory where the Company has autonomous technology from design to operation,” Mr. Nguyen Van Thien happily shared about putting the waste-to-energy plant into operation.

In November 2023, at the Vietnam M&A Forum 2023 with the theme "Joining hands for prosperity" organized by Investment Newspaper ( Ministry of Planning and Investment) organization, the Company received the award for the best M&A Companies in Vietnam 2023. Photo by Le Toan

In addition to business activities, in June 2023, Biwase was voted by Forbes magazine into the Top 50 best listed enterprises in Vietnam 2023, this is the 4th consecutive year the Company has been honored; in July 2023, the Company was honored to receive two major national awards including "Enterprise for sustainable green economic development" and Top 10 representatives of Companies in the field of clean water and environmental sanitation in Vietnam, the award "Famous Brand - Competitive Brand of Vietnam 2023"; in November 2023, at the Vietnam M&A Forum 2023 with the theme "Joining hands for prosperity" organized by Investment Newspaper ( Ministry of Planning and Investment) , the Company received the award for the best M&A Companies in Vietnam 2023.

Entering 2024, Chairman Nguyen Van Thien assessed that the economy will have many positive changes, especially at the end of the year. With experience and high determination, the Company will continue to promote its good governance role, continue to strive to fulfill the responsibilities entrusted to it by shareholders, ensuring that the Company always develops in scale, is financially sustainable and aims for a green environment.

“Continue to implement the investment and development plan well, ensuring the supply of clean water in the provinces where the Company invests such as Dong Nai, Binh Phuoc, Can Tho, Long An, Quang Binh. In addition, the Company ensures safe water supply, clean and safe environment for investors, ensuring that the water loss level is maintained or lower than the current level”, Chairman Nguyen Van Thien emphasized the 2024 strategy.

Regarding financial targets, in 2024, Biwase plans to have revenue of VND 4,100 billion, an increase of 3.1% over the same period, expected profit after tax of at least VND 700 billion, an increase of at least 16.5% compared to the implementation in 2023, expected cash dividend of 13% and the water loss rate of the whole Company from 5% or less.

In the water supply sector, the Company invests in pipelines to bring water to remote and developing areas in Binh Duong and provinces with Biwase's water supply services; continues to complete and submit for approval the clean water price plan; invests in upgrading the capacity of Nhi Thanh water plant by 60,000 m3/day, increasing the capacity of Gia Tan in 2025 to 40,000 to 50,000 m3/day...

For the waste sector, research and invest in expanding the market in strategic locations; research increasingly in-depth and modern waste treatment solutions; continue to research and find output solutions for recycled products, especially Con Voi Binh Duong fertilizer; invest in a 500-ton/day waste incinerator combined with a 12 MW power generation; continue to complete and submit for approval the waste pricing plan; and complete the legal documents of the Tan Long Commune Solid Waste Treatment Complex, Phu Giao District, Binh Duong Province.

For the wastewater sector, continue to deploy and strengthen customer connection for wastewater; continue to complete and submit for approval the unit price plan for domestic wastewater drainage services; strengthen asset management and maintenance for effective operation, contributing to protecting the water environment.

"Regarding mergers and acquisitions (M&A), if there are good opportunities in the water supply and waste sectors in areas with potential efficiency, within the scope of Biwase's available capital, the Company will continue to invest in core industries. In particular, the Company has invested capital in companies in Dong Nai, Long An, Quang Binh...", Mr. Nguyen Van Thien emphasized that he will continue to seek M&A opportunities in core sectors if there are favorable opportunities.

Regarding project implementation, continue to monitor and organize the implementation of legal documents for the Long Thanh Water Highway project in Dong Nai province; invest capital to serve the development needs of Biwase companies investing in Dong Nai, Long An, Quang Binh, etc.; implement water supply projects for Becamex - VSIP Industrial Parks; have a strategy to mobilize appropriate capital sources such as ODA capital with few conditions from ADB (without Government guarantee), World Bank (WB), Japan International Cooperation Agency (JICA), DEG Financial Organization of Germany, etc. to implement production and business projects on water supply, waste and financial investment.

Investment Electronic Newspaper - Baodautu.vn continues to update information on Biwase's 2024 Annual General Meeting of Shareholders.

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