Five times the order was not matched, Singaporean shareholder ordered to buy REE shares at 80,000 VND

Five times the order was not matched, Singaporean shareholder ordered to buy REE shares at 80,000 VND

Platinum Victory's bid price is nearly 20% higher than the market price. If successful, Singapore shareholders will increase their ownership of REECorp to more than 35%.

Refrigeration Electrical Engineering Corporation announces receipt of revised and supplemented documents for registration of public offering of REE shares from shareholder Platinum Victory.

Accordingly, the foreign fund Platinum Victory registered to publicly bid 4 million REE shares, equivalent to 0.85% of charter capital to increase its ownership ratio. The public bid price is estimated at VND80,000/share, so this foreign fund will have to spend about VND320 billion to own the above REE shares. Notably, the current market price of REE on the stock exchange is only VND67,800/share (closing price on August 13). The bid price is nearly 20% higher than the market price.

Currently, Platinum Victory Fund is the largest shareholder of REE, owning more than 164 million shares, equivalent to 34.85%. If the public offering is successful, Platinum Victory will hold more than 168 million REE shares (35.7%).

Previously, from June 12 to July 13, Platinum Victory registered to buy 300,000 REE shares, but by the end of the trading period, this organization could not buy any shares due to unfavorable market conditions. Previously, Singaporean shareholders had placed orders many times but failed to successfully execute the transaction.

According to the Financial Report for the second quarter of 2024, REE's net revenue reached more than VND 2,181 billion, almost unchanged compared to the same period. Meanwhile, the cost of goods sold increased by 16%, causing gross profit to only VND 680 billion, down 23%. In addition, profit from associated companies decreased by 37% to more than VND 113 billion, which pushed REE to report a profit after tax of only nearly VND 404 billion, down 35% compared to the same period last year, the lowest in 11 quarters since the third quarter of 2021. Profit after tax attributable to shareholders of the parent company decreased by 27% to VND 355 billion.

REE said the main reason for the decline in business results was because its member companies in the hydropower sector had fallen further compared to the same period last year, such as Vinh Son Song Hinh Hydropower (VSH), Thac Mo Hydropower (TMP), Thac Ba Hydropower (TBC) or Central Hydropower (CHP). These units were affected by El Nino, which caused unfavorable hydrological conditions, reducing electricity output as well as profits. REE's electricity revenue decreased by 19% compared to the same period last year, reaching VND943 billion.

In the first 6 months of the year, REE recorded net revenue of VND4,019 billion, down 12% year-on-year. Profit after tax was VND952 billion, down 43%. With this result, the company has completed approximately 40% of its annual profit target. According to experts, the company's business activities are expected to accelerate in the second half of the year, especially in the energy sector, when the La Nina phase is returning. Refrigeration Electrical Engineering currently owns a portfolio of energy projects with a total capacity of up to 2,820 MW, including hydropower (1,436 MW), thermal power (1,140 MW), and renewable energy (244 MW).

Source: https://baodautu.vn/nam-lan-bay-luot-khong-khop-lenh-co-dong-singapore-dat-mua-co-phieu-ree-gia-80000-dong-d222382.html