Ben Thanh TSC divests Danang city-based resort after years of losses

Ben Thanh TSC has decided to divest its entire stake in Ben Thanh-Non Nuoc Tourism JSC, the operator of Sandy Beach Non Nuoc Resort in the central Vietnam city of Danang, after years of underperformance.

According to documents for the company’s AGM, the board approved a plan to sell the full investment following a decision issued in October 2025 and finalized in November the same year.

The company appointed Bao Viet Securities JSC (BVSC) to organize a competitive sale to find a buyer.

On January 5, 2026, the winning bidder was identified as Nguyen Van Tung, who agreed to purchase a lot of 3,882,750 shares for about VND93.2 billion dong ($3.55 million).

Under the agreement, the investor must also settle all outstanding debt obligations of Ben Thanh-Non Nuoc Tourism to Ben Thanh TSC under previous funding support contracts. The buyer completed payment for the shares on January 12 and repaid more than VND10 billion ($380,320) in principal and interest by January 29.

The parties are currently completing procedures to transfer ownership of the shares.

The divestment comes after years of weak performance by the resort operator. In 2025, the company reported a pre-tax loss of about VND5.27 billion ($200,430), although this improved from a loss of VND16.37 billion in 2024.

Despite continued losses, the business showed signs of recovery. Room occupancy rose to 58.9% from 49.6% a year earlier, while the average room rate reached about VND1.01 million ($38.4) per night. Revenue from accommodation and hotel services totaled more than VND68.4 billion ($2.6 million).

Ben Thanh TSC first invested in the Sandy Beach Non Nuoc Resort project in 2013, but the investment failed to deliver expected returns. The resort recorded losses for several consecutive years, including about VND30 billion ($1.14 million) in 2022.

Founded in 1992 as Ben Thanh General Trading Company, Ben Thanh TSC operates primarily in trading, real estate services, and financial investment. Its core businesses include retail services at Ben Thanh Market and Dan Sinh Market, general import activities, and the development and operation of hotels and office properties.

In 2025, the company reported consolidated revenue of VND276.5 billion ($10.52 million), while the parent company generated VND221.6 billion. Consolidated pre-tax profit reached VND83.7 billion ($3.18 million), with the parent company posting around VND80 billion.

The results reflected stable performance in the company’s core trading and service operations. Growth was supported by its retail space business in central Ho Chi Minh City, as the recovery of international tourism boosted business at the Ben Thanh East commercial center.

Meanwhile, the Dan Sinh Commercial Center ceased retail operations and was converted entirely into a leasing model to reduce operating costs. Retail stores at Tan Dinh Market and Thai Binh Market were also closed, with operations shifted toward partnership arrangements and asset leasing.

The company’s real estate services segment generated more than VND76 billion ($2.89 million) in revenue in 2025, maintaining stable occupancy rates while improving profitability through cost controls.

However, several non-core investments continued to weigh on performance. Thinh Vuong Investment JSC, which operates the Lam Son Square shopping center in Vung Tau, reported a loss of VND5.8 billion ($221) in 2025 due to high vacancy rates.

Another project, a convention center in Vinh Loc Industrial Park developed by Vinh Loc-Ben Thanh Services JSC, has yet to begin operations and continues to incur operating expenses.

Looking ahead to 2026, Ben Thanh TSC expects a strong improvement in profitability following its investment restructuring. Consolidated revenue is projected to reach about VND297.4 billion ($11.31 million), while parent company revenue is expected at VND294.2 billion.

Consolidated pre-tax profit is forecast to rise to VND155.7 billion ($5.92 million), nearly doubling from 2025, while parent company pre-tax profit is expected to reach about VND155 billion.

The company said the increase would mainly result from eliminating losses linked to Ben Thanh-Non Nuoc Tourism after the divestment, as well as improved efficiency in core operations.

However, the company noted several factors that could affect its business outlook, including contributions of about VND10.1 billion ($384,120) over six years for renovation works at Ben Thanh Market and the potential for higher land lease fees under a new adjustment cycle starting in 2026.

Danang is a tourism and economic hub in central Vietnam. It is home to an International Financial Center which is taking shape. The city is known for beaches among the most beautiful in Asia.