AsemconnectVietnam - Just planning to buy back VND400 billion of bonds, Industrial Investment and Development Corporation - JSC (Becamex IDC, code BCM - HOSE) has issued an additional VND800 billion of 3-year bonds.

On June 17, Becamex IDC just successfully issued VND800 billion of bond code BCMH2427001, 3-year term, due on June 17, 2027. Of which, the bond interest rate is 10.5%/year.
In contrast, Becamex IDC previously approved the acquisition of VND400 billion out of the total issuance value of VND2,000 billion in bonds code BCMH2025002, equivalent to 20% of the total amount of bonds issued and is expected to be implemented on August 31.
According to HNX data, as of June 12, bonds with code BCMH2025002 still outstanding were VND1,200 billion, and VND800 billion were bought back. This is a 5-year bond, issued on August 31, 2020, matures on August 31, 2025 and has an interest rate of 10.5%/year (interest paid every 6 months).
It is known that as of March 31, 2024, Becamex IDC's total short-term and long-term loan balance amounted to VND21,008.2 billion, equal to 107.6% of equity. Of which, short-term debt is VND9,638 billion and long-term debt is VND11,370.2 billion.
Another noteworthy point, Becamex IDC has just announced the documents of the 2024 Annual General Meeting of Shareholders, held on June 27 in Binh Duong province.
In the Congress document, in 2024, Becamex IDC plans total revenue of VND9,000 billion, an increase of 2% over the same period and an expected profit after tax of VND2,350 billion, an increase of 3% compared to the implementation in 2023.
Commenting on the market, Becamex IDC forecasts that the business situation will continue to face many difficulties and challenges affecting the ability to attract investment, capital mobilization plans and progress of implementing new projects.
Among them, a number of investment projects expected to be implemented in 2024 include Cay Truong Industrial Park project; The One Residences housing project; Viet Sing and Dinh Hoa social housing projects; A1 Roundabout project.
In addition, Becamex IDC is also an investor researching and proposing key transportation projects in Binh Duong province such as Ho Chi Minh City Ring Road 4 project from Thu Bien Bridge to Saigon River; Ho Chi Minh City - Thu Dau Mot - Chon Thanh Expressway project; My Phuoc Tan Van road completion project in the form of PPP; and the project to upgrade and expand National Highway 13.
Regarding the profit distribution plan, Becamex IDC submitted to shareholders a plan to pay dividends at a rate of 10% for the 2023 fiscal year and the expected dividend for 2024 will still be 10%.
Regarding business lines, Becamex IDC also added electricity production (electricity production activities from solar energy and renewable energy) and also submitted to shareholders the foreign investor ownership ratio. The maximum at Becamex IDC is 34%.
It is known that, according to data from SSI Securities, as of the end of June 4, the ownership rate of foreign investors at Becamex IDC was 1.31%, the remaining ownership rate is 47.69%. Thus, Becamex IDC's foreign room according to SSI data is 49% of total shares.
Additionally, in 2019, Becamex IDC determined foreign room at 49%, expecting foreign investor ownership to bring good liquidity to BCM shares, improving the ability to mobilize capital for the company in stock issuances.
Thus, Becamex IDC plans to reduce foreign room from 49% to a maximum of 34%.
N.Nga
Source: VITIC/Tinnhanhchungkhoan