Hoang Anh Gia Lai (HAG) drops dramatically after news of selling hospital to pay debt

HAG sells hospital to pay debt, expected to be debt-free by 2025

During the investor meeting held on the afternoon of December 15, 2023, the board of directors of Hoang Anh Gia Lai Joint Stock Company (HAG code) provided a lot of noteworthy information. Including the sale of the hospital to pay off debt.

Specifically, the company plans to sell Hoang Anh Gia Lai Hospital (full name is University of Medicine and Pharmacy Hospital - Hoang Anh Gia Lai) located on Le Duan Street, Pleiku City, Gia Lai Province to get money to pay off debt. The hospital currently has 11 inpatient departments, 6 functional clinics and 20 specialized clinics.

After the decision to sell the hospital to pay for it, there were no buyers for the discounted goods, picture 1. — Hoang Anh Gia Lai (HAG) plans to sell the entire hospital to pay off debt, stock "turns around" to hit the floor, no buyers (Photo TL)

The sale of the hospital is one of HAG’s asset liquidation activities to raise money to pay off its debts. Previously, HAG also sold the Hoang Anh Gia Lai Hotel located at No. 1 Phu Dong, Phu Dong Ward, Pleiku City, Gia Lai Province and earned about 180 billion VND. This amount was used to pay off debts.

According to Bau Duc shared at the conference, Hoang Anh Gia Lai's current goal is to focus on debt settlement. In 2023 and 2024, the company will focus on paying off debts and strive to pay off all debts in 2025.

HAG stock "turned around" and hit the floor, "no buyers"

After the public offering, HAG code had extremely strong price increases, from the price range of only 9,000 VND/share in mid-November to the peak of 13,550 VND/share in the session on December 13, 2023.

However, after the investor meeting on December 15, 2023, HAG had consecutive sessions of price loss. The peak was in the trading session this morning, December 19, 2023, when HAG code suddenly dropped to the floor price of VND 12,400/share. The "no buyers" situation occurred when no investors bought HAG shares during the trading session.

This is the 4th consecutive decline of HAG after reaching its highest peak in the past 15 months, ending the hot growth streak over the past 6 trading weeks.

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