Bamboo Capital chairman registers to buy 5 mln BCG shares

Nguyen Ho Nam, chairman of Bamboo Capital Group (BCG), has registered to buy five million BCG shares via put-through or order-matching transactions, the Ho Chi Minh Stock Exchange-listed firm announced Wednesday.

Nam is expected to spend VND25 billion ($1.01 million) on buying the shares between November 21 and December 20.

Earlier on Wednesday, forced selling of nearly 4.6 million shares from Nam’s account occurred. BCG said this was an unfortunate incident resulting from untimely coordination between Nam and his securities account management representative.

Upon discovering the issue, Nam announced the registration to buy five million BCG shares to maintain the same ownership in BCG. After completing the purchase, Nam will hold more than 83.37 million BCG shares, or a 15.63% stake, up from the current ownership of more than 78.37 million shares, or 14.69%.

Nam made the move amid the continuously falling price of BCG shares. BCG said the stock price plummeted due to the market trend and did not fully reflect the value and potential of the business.

Despite many difficulties, BCG’s activities are being carried out normally. The group's leadership is making efforts to adjust its business strategy to adapt to market fluctuations, in order to optimize the value brought to the company, shareholders, and investors.

The business earned after-tax profits of VND885.32 billion ($35.65 million) on revenues of VND3,311 billion in the first nine months of the year, up 26.24% and 73.81% year-on-year, respectively. BCG has maintained such growth from 2018 to now, with the growth in revenue and post-tax profit at 41.1% and 157.9%, respectively.

The gross profit margin and net profit margin in the nine-month period reached 35.2% and 27.7%, respectively.

By September 30, 2022, BCG’s total assets were VND43,752 billion ($1.76 billion), up 16.1% compared to the beginning of the year.

Owner equity jumped 63.3% to VND13,634 billion ($549 million) after the nine months. Its total-debt-to-equity ratio fell from 7.2 by end-2020 to 3.5 by end-2021 and 2.2 by September 30 this year, an average rate in comparison with competitors in the sector.

In the renewable energy sector, during January-September, its power sales to state utility Vietnam Electricity (EVN) increased by 13% year-on-year, with the business implementing solar and wind power projects in the Central Highlands and southwestern region.

For the realty sector, good absorption was recorded at offerings. King Crown Infinity project has 325 out of 725 apartments reserved, while Hoian d'Or project has sold 166 out of 202 shophouses and has started delivering properties to customers since September.

Regarding bonds, those issued by BCG and its subsidiaries serve the financing of projects and have a maturity suitable to project progress. In 2022, bonds worth VND450 billion ($18.14 million) issued by a subsidiary will mature in the four quarter, while none will mature next year. The company is holding VND1,300 billion ($52.38 million) in cash and cash equivalents.

This year, BCG aims for post-tax profit of VND2,200 billion ($88.68 million) on a revenue of VND7,251 billion. After the nine months, BCG fulfilled 45.7% and 40.2% of the year's revenue and profit targets, respectively.