Dong Tam Group cancels public company registration

Vietnamese private multi-sector corporation Dong Tam Group canceled the registration of its status as a public company from December 30, 2022, due to seven major shareholders holding more than 90.4% of its shares, according to the State Securities Committee.

According to its latest annual report, as of March 31, 2022, the company has a total of 1,077 shareholders owning more than 68 million shares, equivalent to charter capital of VND681 billion ($29 million).

Of this, four major shareholders hold nearly 50.6 million shares, equivalent to nearly 74.5% of the total outstanding shares.

In the period from August 29 to September 14, 2022, the company welcomed three other major shareholders, namely Phuc Lam Real Estate Company Limited, individual Le Vo Manh Cuong and Housing and Land Communication Co., Ltd.

Under this structure, the company's seven major shareholders hold more than 90.4% of the shares, in which chairman Vo Quoc Thang is a major shareholder with a 47.5% stake and vice chairman Vo Van Khuyen (Thang's brother) with an ownership rate of nearly 14.6%.

This means it no longer meets one of the two conditions to become a public company, which is "having at least 10% of voting shares held by at least 100 investors who are not major shareholders".

Dong Tam Group was founded in 2002 and associated with Vo Quoc Thang's name. Its main activity is manufacturing and trading in building materials and interior decoration products; real estate business, seaport exploitation, land lease in industrial parks, Ong Bau Coffee joint venture, etc.

The company is famous for projects like Long An International Port, Southeast Asia Long An Urban Area project, Southeast Asia Long An Industrial Service Park, Southeast Asia Long An Industrial Park, Dong Tam House, etc.

Currently, Dong Tam Group has a number of key projects in progress including: the 7.5-hectare North Le Loi residential area project in Quang Ngai town; the 76.6-hectare project of Long An province's administrative center (Green City); and the 14,660-square meter Dong Tam House project.

In fiscal year 2021 from April 1, 2021 to March 31, 2022, Dong Tam Group reached net revenue of VND1,938 billion ($82.65 million). Its after-tax profit was VND111 billion ($4.73 million), up 26% year-on-year.

As of March, 31, 2022, the company's consolidated total assets hit VND6,947 billion ($296.25 million), up 5.5% year-on-year.

In fiscal year 2022-2023 from April 1, 2022 to March 31, 2023, Dong Tam Group set a revenue target of VND2.3 trillion ($98.08 million), up nearly 18.7% compared to the previous year and after-tax profit plan of VND225 billion ($9.59 million). It expected to pay a dividend of 12%.