Phat Dat pursues HCMC housing project after a decade as it restructures property portfolio

Phat Dat Real Estate Development Corp (PDR) has moved to acquire a 50% stake in AKYN Investment Trading Service JSC as part of efforts to revive a long-delayed residential project in central Ho Chi Minh City, the company said in a board resolution. Financial terms were not disclosed.

HCMC-headquartered Phat Dat said the acquisition would allow it to develop a housing project at 239 Cach Mang Thang Tam street, with a total investment estimated at VND5.5 trillion ($208.7 million) and planned implementation between 2026 and 2030.

The 3,640 sqm project traces back to 2015, when Phat Dat reported securing more than 80% of the units at the site. The company expected to be transferred 100% by June 2016 and complete all procedures to start construction in the same year, launch products in 2017, and complete the project in 2018.

By mid-2016, the company said it had completed compensation and land clearance worth nearly VND500 billion ($18.97 million). However, in late 2017, Phat Dat transferred the development rights to TAM JSC - AKYN’s predecessor - recouping its investment and an agreed profit payment of VND180 billion ($6.83 million), contributing significantly to its earnings that year.

From 2017 to 2020, TAM, later renamed AKYN, expanded its charter capital from VND100 billion to more than VND2 trillion ($76.58 million), with Nguyen Thi Minh Thu, daughter of Phat Dat chairman Nguyen Van Dat becoming charwoman, replacing Nguyen Thi My Kim.

AKYN later reduced its capital to VND513 billion ($19.47 million) in 2022-2023 amid the broader property bond market downturn, and recorded changes in management structure. Nguyen Hoang Tue (1968) became chairman, replacing Nguyen Thi Minh Thu (1994) who became general director. Nguyen Hoang Tue is currently deputy general director of Thaco and general director of Dai Quang Minh.

Minh Thu currently oversees multiple AKYN-related hospitality and tourism assets, while Phat Dat reported owing nearly VND290 billion ($11 million) to AKYN Hotel Investment and Management JSC.

Shift toward inner-city assets

The purchase comes as Phat Dat accelerates portfolio restructuring, planning to divest several major projects outside HCMC.

The company aims to sell its 99% stake in Bac Cuong Investment JSC which owns the Bac Cuong-Tran Phu project at 223-225 Tran Phu street in Danang at a minimum price of VND1.1 trillion ($41.74 million). Inventory at the project totaled VND640 billion ($24.29 million).

Phat Dat has also approved divesting 79% of the Thuan An 1 project in the former Binh Duong province, now part of HCMC. Thuan An 1 and Thuan An 2 are among the firm's largest developments, with combined work-in-progress inventory valued at VND3.19 trillion ($121.2 million) at end-September.

The company said the M&A strategy aims to increase exposure to inner-city developments, where profit margins and brand visibility are typically higher. It expects stronger contributions from such projects starting in 2027, while asset rotation and reinvestment are intended to enhance liquidity and balance sheet flexibility.

Financial performance

Phat Dat reported revenue of VND964.4 billion ($36.6 million) in the first nine months of 2025, up 5.5 times from a year earlier. Post-tax profit rose 31% to VND201 billion ($7.63 million).

The company, however, remains far from its full-year targets of VND3.3 trillion in revenue and VND728 billion in profit after tax, which hinge on recognition of income from the Bac Ha Thanh (Quy Nhon Iconic) project and potential divestments at subsidiaries and other services.

The company said completing ongoing project transfers in Q4 would significantly improve the likelihood of meeting its 2025 targets, after missing guidance in 2024.

On the Ho Chi Minh Stock Exchange, PDR shares closed Friday at VND22,600 ($0.86) apiece.