This time I took the initiative to meet Mr. Duc in Saigon. The previous times he "took" me to Gia Lai, sometimes to try vegetarian pigs, sometimes to taste ripe durian, sometimes he just applied "productivity contract", the banana bunch weighed twice as much, the contractor received billions and he was happy; or once he spontaneously ate pork right on the farm "without any smell because it was 100% recirculated"..., depending on what he was interested in showing off.
Our stories in Saigon that afternoon, a late September afternoon with pouring rain, had nothing to do with work. And thanks to that, I also realized a very different Mr. Duc, a businessman Doan Nguyen Duc, Chairman of Hoang Anh Gia Lai Group (HAGL).
It was almost 2 years before I met Mr. Duc again, although during that time, I still received durians he sent. Mr. Duc said he was in a "deep dive" phase, which made me suddenly startled. I remember the last time he "did deep dive", he disappeared for almost 5 years before appearing. Mr. Duc laughed loudly and reassured: "Diving is to work, diving to catch big fish".
Although still laughing and talking heartily, Mr. Duc that afternoon had a secret tranquility that not everyone realized. I felt that at this stage, he had enough heart and position to stand aside when looking at the ups and downs, including the bitterness of human life that he had experienced, to "enjoy" it more than to prove himself. Because he realized that when he had the least money, he was also the most affectionate, not only from acquaintances but also strangers, even people who had never met him. Those sympathies, unintentionally or intentionally, had a positive impact on many "life and death" issues with HAGL, helping him rise from the abyss to start over.
Like the "billion-dollar marriage" between two private corporations, Thaco and HAGL, in 2018. Up to now, that is probably an investment deal that goes beyond normal business principles. Because before Thaco and HAGL signed a strategic cooperation agreement, the two business owners only knew each other slightly. However, in the context of HAGL being like a "giant ship sinking in the ocean", Mr. Doan Nguyen Duc sent a handwritten letter to Mr. Tran Ba Duong (Chairman of Thaco) with the only reason: He thought Mr. Duong had money. And Mr. Tran Ba Duong, in a conversation with Thanh Nien in 2020, admitted that one of the reasons he invested in HAGL was because "everyone he met praised Mr. Duc". What happened after that, we witnessed, a "billion-dollar marriage" that made the market stir, and the press spent a lot of ink.
Mr. Duc's joy is now linked to the growth and development of durian and banana.
But that's just the outside, there are also stories between the two businessmen that not everyone knows. Mr. Duc said that when he took Mr. Tran Ba Duong to Laos and Cambodia to inspect HAGL's agricultural facilities, Mr. Tran Ba Duong decided "extremely quickly and decisively". Immediately after that, Mr. Duong transferred thousands of billions of dong to Mr. Duc to handle HAGL's urgent problems "without a single receipt". Of course, the procedures were fully carried out immediately after that. But when Mr. Duong sat with us for afternoon tea at the Rex Hotel in late September, Mr. Duc still affirmed that it was "the stature of a great, fierce and determined businessman". The billion-dollar deal tinged with the "heroic Liangshan Marsh" between two famous Vietnamese businessmen is probably very rare. It shows the courage, decisiveness and strategic vision of businessmen who think big and do big.
Similarly, the fact that dozens of banks unanimously submitted a request to the State Bank to restructure HAGL, and then the State Bank and relevant ministries and agencies sent an official dispatch requesting the Government to pay attention to restructuring HAGL to maintain operations in Laos, Cambodia... is also a special story. That was on December 31, 2016, Mr. Duc decided to announce "HAGL lost liquidity". Many people discouraged him, because speaking out would almost certainly mean bankruptcy. But he was determined. He said that hiding his illness would only make it worse. At that time, HAGL's debt had reached more than 28,000 billion VND, unable to pay interest and installments, and had no cash flow to maintain operations. "Consider it dead", Mr. Duc recalled. At that dark moment, Mr. Duc was sitting in the Rex Hotel. I did not ask him who he was sitting with, or alone. But even for more than one person, I believe that moment was not only the "darkest" as Mr. Duc confessed, but perhaps also the loneliest. It was the last day of the old year, the earth and sky were changing to welcome a new spring, and Mr. Duc was still struggling with the unpredictable scenarios of his life.
He knows more about agriculture than a real farmer.
In his heart, he gambled between the belief in restructuring and the harsh reality of life. That belief stemmed from the "very Duc" thinking, that HAGL's difficulties were due to objective reasons and that he did not "take money to do bad things". HAGL's investment projects were all carefully assessed and well-evaluated by the bank, and the loans were used for the right purposes... All of those arguments were not wrong. But in life, how many cases have people who do the right thing, do well, but still have to bitterly leave the game if they fail? Of course, Duc also anticipated the worst scenario: "If we sympathize, we will support and restructure together. Otherwise, all debts will have collateral and be sold to recover."
Finally, his belief won, HAGL was officially approved for restructuring. This is also a milestone marking a new journey, a journey of madly working to pay off Mr. Duc's debt. Bitterness, sweetness, human nature... he has tasted everything, lacking nothing. Up to now, HAGL still owes about 4,000 billion VND. "According to the plan, in 2026 HAGL will completely become the first debt-free thousand-billion company in Vietnam", Mr. Duc affirmed but did not forget to add a sentence with a faint taste of human nature's bitterness: "Because we owe a lot, people talk about us as being associated with debt. So HAGL, even if it owes 1 dong, is still considered a debtor. While many people owe hundreds of thousands of billions, no one knows. So let's stop, determined to pay it off."
I asked Mr. Duc if he ever wondered why he was loved by so many people. He thoughtfully admitted that he did not know very well. But he never put others in a difficult position because of his work. "Maybe through the process of working, people have a friendly feeling, probably because good people are rewarded with good things, so from one good luck to another", Mr. Duc guessed.
It was also this answer that suddenly made me realize that Mr. Duc, a businessman Doan Nguyen Duc, was very different. It is not easy for a person who was once the richest on the stock market to become the most notorious debtor in Vietnam to feel lucky. "If you live a bad life, people will avoid you, no one will help you", Mr. Duc added and said that from then on, he realized that he must live a truly serious life. Never let society or people criticize him. And so, he is proud of what he is building today, "although not as big as before, it is very sustainable, going in the right direction that society needs". That is agriculture.
When the durian just had fruit, Mr. Duc "told" us to taste it.
Mr. Duc is trying to prove that agriculture can bring in profits of 5,000 - 7,000 billion VND/year. "That is something that no one dared to think of. No one dared to think of it, but if you can do it, people will say that it is worth it to dive deep for a while and then do something," he laughed heartily, escaping from a rare moment of self-reflection. "I affirm to you that if agriculture is done properly, the profits will be very good, and there will be real consumer products for society. Many people just announce their wealth but no one knows what products they have. But in Vietnam, if you ask Mr. Duong, everyone knows that he makes cars, Mr. Long makes steel... You have to have products for society to recognize and respect you," Mr. Duc philosophized.
He went into the garden, lifted the lush foliage to show off the durian hidden behind.
Today's Mr. Duc is more contemplative and philosophical.
He said HAGL currently has about 2,000 hectares of durian, and he has also fixed this number and not expanded further "to do other things". I asked what happened, and he said it was a secret. Since the debt incident, Mr. Duc has been more cautious. "When there is real income, reported sales, and products on the market, then we will announce it. But now that we are doing it, people say we are talking nonsense". I questioned: "You declared to close 2 trees - 1 animal...?". Mr. Duc explained: "In the past, the closing was to reassure the brothers, that we would not do it indiscriminately. But not indiscriminately means not doing other industries, only doing agriculture. And in the agricultural industry, you have to divide your eggs into many baskets to be safe". As if to prove his steadfastness in agriculture, Mr. Duc said that even when someone invited him to do this or that project, which was very good and could make thousands of billions, he would "thank and never". He has always kept in mind that he would only do agriculture and would never expand further. "You have defined greed, people must stop at the right time. You cannot cut off greed, just keep rushing in and you will die", Mr. Duc philosophized again.
Once a leading real estate enterprise in Vietnam, Mr. Duc admitted that this field is so attractive and creates greed that it makes people confused, and he used to be like that too. But the profit of this industry, according to Mr. Duc, is just "counting the chickens before they hatch". That is where the risk lies and that is where the greed also arises. "For example, a project that buys 1 dong, adds, subtracts, multiplies, and divides to sell for 5 dong, is that too profitable? But it's completely wrong with reality. Because real estate in Vietnam bears very high interest rates and the implementation time is too long, so calculating correctly and fully is not enough. Think about it, if the process is correct, a project from approving the investment policy, licensing, starting construction, completing all kinds of documents until selling to customers takes a dozen years, not counting the risk factors of the market, management, policies... But everyone forgets the cost of that part and just calculates that 1 dong is sold for 5 dong, so they see only billionaires. In fact, there is nothing left," Mr. Duc analyzed and added that when he realized that, he decided to withdraw from real estate and switch to agriculture.
But more than "realization", he has reached the realm of "bewilderment" of trees and plants. While I was writing this article, Mr. Duc texted me. He was in Cambodia again. In my mind, I imagined him driving in the middle of a vast field of durians, bananas... I remember the scene where his car slid down a deep ditch on the side of the road covered by grass, tilted at a 45-degree angle on the Bolaven Plateau (Laos) when he took us to visit a vast durian garden 2 years ago.
Nothing can stop Mr. Duc from continuing his journey.
Now, Mr. Duc is reaching the final stage of his debt repayment journey. "In the past 5 years, most businesses have increased their debt, but he went from a debt of more than 28,000 billion to just over 4,000 billion VND. Paying off all his debt is also a hero," Mr. Duc compared and laughed out loud, returning to the original cheerful Mr. Duc that I have known for many years. Today's Mr. Duc has many things to laugh at and be proud of. He is proud to have experienced both the peak and the abyss. He is proud to have dared to announce the truth about HAGL's loss of liquidity. He is proud to receive the love of many people, even when he fell into the abyss...
Then he pondered and said that after paying off the debt, he would repay the favors that life had given him. He wanted to do something for the people who had stayed with him until now. Because without them, he certainly wouldn't have been able to do it. "Right now, I'm sitting here drinking tea with you, the machine is still running, the business is still going on. There was a time when the company didn't pay salaries for 5 months, everyone was still working normally and happily. So without those people, I couldn't have overcome the past journey. Somehow, I don't know, but I will help people fairly. Now I'm 63 years old, when I'm 65, I'll pay off the debt and repay life, and that will be enough. In the end, I can't bring that much money to the ground, so why fight over it?", Mr. Duc affirmed.
I remember the first time I met Mr. Duc, about 16-17 years ago, also at the Rex Hotel. He had something to say to the market. He spoke quickly, as if I already knew the whole story, without even asking if I needed a glass of water, according to normal diplomatic protocol. At that time, Mr. Duc was at the peak of his career, had many projects, and didn't know what to do with all the money. In 2009, I interviewed Mr. Duc when he became the richest person on the stock market, and also the person with the most potential to become the first USD billionaire in Vietnam. However, that scenario did not happen. Because not long after, Mr. Duc withdrew from the real estate sector, officially switching to investing in agriculture. Mr. Duc never expected that this would also be the beginning of HAGL's journey to the abyss. From the richest person on the stock market, he became the most notorious debtor in Vietnam. But also from that raging storm, he brought HAGL back, in a way that was perhaps even more spectacular than when it went downhill.
When I stood up, the second cup of tea was gone, the rain had stopped...
I have an appointment with Mr. Duc to visit his "secrets" in Laos in the near future.
Source: https://baodaknong.vn/tra-chieu-cung-bau-duc-232473.html
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