Vietnam's leading construction company Coteccons has approved a plan to issue over 24.8 million shares, equivalent to 33.33% of the firm's outstanding shares, to raise its charter capital.
Shareholders owning three shares will receive one new share. The issuance will take place after the State Securities Commission announces the receipt of all related documents.
The construction giant has reported net revenues of VND3.62 trillion ($150.7 million) in the second quarter of this year, up 10% year-on-year, and after-tax profit of over VND30.1 billion ($1.25 million). In the same period last year, it made a loss of VND23 billion ($958,200).
In the first six months of the year, Coteccons posted net revenues of VND6.75 trillion ($281.2 million), up 30%, and after-tax profit of VND52 billion ($2.1 million), 10 times year-on-year.
For the whole year, Coteccons has set a revenue target of VND16.25 trillion ($676.9 million) and after-tax profit of VND23 billion ($958,200).
The capital expansion was approved at the company’s 2023 meeting of shareholders. It expects its market capitalization to reach $1 billion and revenues to rise to $3 billion.
Coteccons is listed on the Ho Chi Minh Stock Exchange (HoSE) as CTD. It closed Friday at VN62,400 ($2.6) per share.