Dragon Capital raises holdings in Vietnam realty developer KDH to 9.15%

Funds affiliated to Khang Dien House, among the top foreign-run asset management firms in Vietnam, have increased their combined stake in Khang Dien House Trading and Investment JSC to 9.15% from the previous 7.91%.

They purchased 20.03 million shares of the Vietnamese real estate developer, listed on the Ho Chi Minh Stock Exchange as KDH, on August 1 via a private offering and on August 5 through the exchange, according to a filing to the bourse on Tuesday.

After the transactions, their combined holdings increased to 83.27 million KDH shares. Among them, Norges Bank now owns 21.33 million shares, followed by Amersham Industries Limited with 14.15 million units and Vietnam Enterprise Investments Limited with 10.77 million.

According to Vietnamese legislation, a report must be made when group members’ transactions lead to the group’s ownership percentage exceeding thresholds of 1%.

Before the Dragon Capital, Tien Loc Investment JSC, KDH’s biggest shareholder, bought 17.61 million KDH shares on July 24, increasing its stake to 11.46%, or 104.2 million shares.

Khang Dien House completed a private placement on July 29, raising VND3 trillion ($119.2 million) from offering 110.1 million shares, including 79.3 million shares to domestic investors and 30.8 million shares to overseas players.

Viet Dragon Securities and Vietcap Securities bought 3.66 million and 4.4 million KDH shares.

After the offering, Khang Dien House's charter capital hiked to VND9,094 billion ($361.3 million).

Between January and June, the company earned a consolidated net profit of VND341.8 billion ($13.58 million) on revenue of VND978.5 billion, down 23.57% and 2.9% year-on-year, respectively.

As of June 30, it had total assets of VND28,401 billion ($1.13 billion), up 7.2% from end-2023. Its inventories rose 14.2% in the period to VND21,458 billion.