TTC Land continuously dissolves subsidiaries

Saigon Thuong Tin Real Estate Joint Stock Company (TTC Land - stock code SCR) has just announced the decision to dissolve its subsidiary, Thuong Tin 620 Real Estate Investment Joint Stock Company (Rach Gia - Kien Giang) from October 14, in order to restructure and optimize operations. TTC Land once contributed VND10.2 billion, equivalent to 51% of charter capital, to this company.

Previously, in July, TTC Land also consecutively dissolved its subsidiaries and capital-contributing companies. TTC Land Hung Dien Real Estate Investment Joint Stock Company has temporarily suspended its business for 12 months since August 1, 2024. At the same time, 2 companies in which TTC Land holds 100% capital, including TTC Land Retail Management LLC and TTC Land Phu Quoc Real Estate Investment LLC, have also been dissolved.

In addition to restructuring, TTC Land also implemented debt conversion through the issuance of 34.93 million shares with a total value of VND 349.3 billion, applying a transaction restriction period until the first quarter of 2025. Notably, Thanh Thanh Cong Investment Joint Stock Company will convert VND 289.34 billion of debt into 28.9 million shares, increasing its ownership to 22.7% of TTC Land's charter capital.

Regarding the financial situation, the first half of 2024 report shows that TTC Land's revenue reached VND 144 billion, down 3.7% compared to the same period last year. Pre-tax profit reached VND 16.1 billion, up 15.8%, but after-tax profit decreased by 3.4%, to only VND 5.7 billion.

Currently, TTC Land owns total assets of VND10,868 billion, with inventories and short-term receivables accounting for a large proportion of total assets. However, cash decreased by 14.5%, to only VND115 billion.

TTC Land's SCR shares have continuously decreased in price, closing on October 14 at VND5,260/share.

Source: https://nld.com.vn/lien-tuc-giai-the-cong-ty-con-dieu-gi-dang-xay-ra-voi-ttc-land-19624101508285392.htm