AsemconnectVietnam - Having just mobilized VND317 billion in bonds, I.P.A Investment Group Joint Stock Company (code IPA - HNX) continues to mobilize an additional VND735 billion in 5-year bonds.

On June 27, I.P.A Investment continued to issue an additional VND735 billion of bond code IPAH2429002, 5-year term (maturing June 27, 2029). In particular, information about the purpose of capital mobilization and interest rates has not been announced.
Previously, on June 5, I.P.A Investment had just successfully issued and mobilized VND317 billion of bond code IPAH2429001, 5-year term, due on June 5, 2029.
It is known that according to the original plan, I.P.A Investment approved the plan to issue a maximum of 3,170 bonds with a par value of 100 million VND/bond, equivalent to a maximum of VND317 billion. In particular, this is a non-convertible bond, without warrants, without guarantees and is not a secondary debt of the enterprise (4 no); Bond term is 5 years, fixed interest rate 9.5%/year.
For the purpose of issuance, the Company will use the entire mobilized amount to restructure debts according to loan contracts and other debts, with the expected time of capital use being the second quarter of 2024. Of which, VND309 billion will be used to repay the loan to South Can Tho Investment and Development Joint Stock Company, the loan signed on July 4, 2023; and VND8 billion to repay the loan to South Can Tho Investment and Development Joint Stock Company, loan signed on November 17, 2023.
It is known that by the end of the first quarter of 2024, the total short-term and long-term debt of I.P.A Investment decreased by 9.4% compared to the beginning of the year, corresponding to a decrease of VND411 billion, to VND3,981.5 billion and equal to 95.1% of equity (equity is VND4,187.2 billion).
Another noteworthy point, as of March 31, 2024, I.P.A Investment said it had invested VND4,295.1 billion in VNDirect Securities Joint Stock Company (code VND - HOSE), equivalent to owning 25.84%. Authorized capital; Regarding capital investment in other units, for the first time, I.P.A Investment recorded an investment of VND850 billion in Trung Nam Renewable Energy Joint Stock Company (accounting for 9.36% of charter capital), as well as investing VND928.4 billion into Century Real Estate Joint Stock Company (CRE code - HOSE), equivalent to 10.91% of charter capital, provision of up to VND474 billion has been made into CRE shares, corresponding to a temporary loss of 51.1 % The total value of investment.
It is known that during the 2024 General Meeting of Shareholders, at the discussion session, shareholders asked questions about investing in Trung Nam Renewable Energy Joint Stock Company. Ms. Pham Minh Huong, member of the Board of Directors of I.P.A Investment, said that the Company has been interested in energy since 2010 and has invested in 2 hydroelectric projects with a total capacity of 40MW. However, later I.P.A Investment focused on consolidating and building capacity for each member company, so it did not invest in energy.
According to Ms. Huong, VNDirect Securities is still looking for industries with cash flow and creating investment products such as bonds. For I.P.A Investment, this is an opportunity for the company to consider expanding investment in the renewable sector. Ms. Huong commented that the information about the Central South side being subject to inspection and review is a policy risk of the State.
"We joined VNDirect Securities because we believe that the renewable energy sector is the industry of the future, Trung Nam's risks are not related to the company's assets and projects. The energy segment inherently carries cash flow so we can feel secure in investing and developing other service areas. That's why I.P.A Investment chose Trung Nam to issue and guarantee bonds," Ms. Pham Minh Huong emphasized.
N.Nga
Source: VITIC/Tinnhanhchungkhoan