Huge capital increase plans of real estate giants

With the positive recovery of the economy, many businesses have mobilized tens of thousands of billions of VND through the stock market. According to data from the Ministry of Finance, as of the end of June 2024, the total actual capital mobilized on the stock market is estimated at 181,345 billion VND.

Previously, during the 2024 Annual General Meeting of Shareholders, many businesses submitted and received approval from shareholders for plans to offer shares to increase capital, especially in the banking, real estate, securities, etc. Offering activities are expected to continue to be vibrant in the coming time.

In the industrial park real estate group, some companies have attracted attention with plans to issue hundreds of millions of shares, raising tens of billions of dong.

A typical example is the Industrial Development and Investment Corporation - JSC (Becamex IDC, code: BCM), the company is planning to issue 300 million shares through a public auction with a selling price of no less than VND50,000/share.

According to the plan, Becamex IDC will mobilize at least VND15,000 billion from the above offering to develop a series of key industrial parks, contribute capital to existing companies, and restructure the corporation's finances. Of which, VND6,300 billion will be for project investment, VND3,634 billion will be for contributing capital to existing members, and VND5,066 billion will be for financial restructuring.

Another name that is attracting a lot of attention is Kinh Bac Urban Development Corporation - JSC (Code: KBC) which is also planning to increase its capital "hugely" by issuing shares.

According to a report from DSC Securities Company, Kinh Bac is completing documents for the State Securities Commission on the issuance of 250 million individual shares, with a price not less than 80% of the average closing price of the previous 30 sessions. The estimated value of proceeds from this issuance is about VND6,000 billion.

Previously, Infrastructure Development Joint Stock Company (Becamex IJC, code: IJC) successfully offered nearly 126 million IJC shares at VND10,000/share, with an estimated total proceeds of VND1,259 billion. Thereby, the company increased its charter capital to VND3,777 billion.

According to the plan, Becamex IJC will use 366 billion VND of the mobilized money to invest in capital contribution through the form of purchasing additional shares issued in Becamex Binh Phuoc Technical Infrastructure Development Joint Stock Company; use 853.4 billion VND to pay principal/interest on short-term and long-term bank loans, bonds and customer debt and 39.6 billion VND to supplement business capital.

Similarly, Sonadezi Chau Duc Joint Stock Company (HOSE: SZC) also successfully offered nearly 60 million shares at VND20,000/share, raising VND1,198 billion. Sonadezi Chau Duc plans to use the entire amount to supplement investment capital, build the Chau Duc Industrial Park project (Chau Duc district, Ba Ria - Vung Tau province) and restructure loans to credit institutions, and pay principal and interest on maturing bonds.

Source: https://laodong.vn/kinh-doanh/ke-hoach-tang-von-khung-cua-cac-ong-lon-bat-dong-san-1388286.ldo