Agricultural giant Hoang Anh Gia Lai (HAGL) appointed Nguyen Xuan Thang as its new CEO and legal representative Wednesday, replacing Vo Truong Son, who had occupied the position since 2015.
The company said in a statement that Son had resigned for personal reasons.
Thang, 47, who has worked for HAGL since 2007, holds a bachelor's degree in economics.
The personnel change was taking place in the context of the company restructuring its business and financial operations, it added.
Since September 2023, HAGL, listed on the Ho Chi Minh Stock Exchange (HoSE) as HAG, has been selling its assets to pay off debt.
At an investor meeting at the end of 2023 in Ho Chi Minh City, HAGL chairman Doan Nguyen Duc revealed that the company had sold the Hoang Anh Gia Lai Hotel last year for VND180 billion ($7.37 million) and transferred shares of the Hoang Anh Gia Lai - University Medical Center in the fourth quarter of 2023.
During the year, it also paid off debts of VND750 billion ($30.7 million) to Eximbank and received a total interest reduction of VND1 trillion ($41 million).
In 2023, HAGL recorded net revenues of nearly VND7 trillion ($286.6 million), up 36% year-on-year, and net profit of more than VND1.8 trillion ($73.7 million), the highest level in the last 13 years.
Regarding a plan to issue 130 million shares via private placement, Duc said all procedures have been completed and the company was waiting for a response from authorities.
He also said the company will raise its durian cultivation area to 2,000 hectares this year, with crops ready for harvest in over 300-400 hectares in Vietnam and Laos.
As of December 31, 2023, HAGL’s liabilities stood at VND14.8 trillion ($605.9 million), with long-term debt decreasing by more than VND1 trillion to VND4.2 trillion.
Duc expressed hope that with an effective business strategy, the company will clear accumulated losses this year and be clear of debt by 2026.
The company’s HAG ticker closed Wednesday at VND13,150 ($0.54) per share.