Realty player Phat Dat aims for capital base, profit increases in 2024

By Tuong Nhu, Hai Yen
Fri, May 24, 2024 | 10:53 am GMT+7

Phat Dat Real Estate Development Corp, a major property developer in Vietnam, is aiming to raise its charter capital by 15% to VND10.52 trillion ($413.2 million) this year.

To realize the target, the firm, listed on the Ho Chi Minh Stock Exchange as PDR, is offering 134 million shares through a rights issue at a price of VND10,000 ($0.39) apiece.

The proceeds, estimated at VND1.34 trillion ($52.7 million), have been earmarked for the development of the Thuan An 1 and Thuan An 2 residential complexes in the southern province of Binh Duong.

Additionally, funds will support urban subdivisions No. 2 and 9 at the Nhon Hoi ecotourism urban project, the Bac Ha Thanh residential project, and the Cadia Quy Nhon apartment complex, all located in the south-central province of Binh Dinh.

An illustration of the Thuan An 1 residential complex in Binh Dinh province, central Vietnam. Photo courtesy of Phat Dat Corp.

An illustration of the Thuan An 1 residential complex in Binh Dinh province, central Vietnam. Photo courtesy of Phat Dat Corp.

In addition, Phat Dat Real Estate will issue another 313.6 million shares, including 14.6 million shares under the employee stock ownership plan (ESOP), at VND12,000 ($0.47) apiece, and 131 million shares distributed from retained earnings.

The firm also has a $30 million loan from ACA Vietnam Real Estate III LP, disbursed in 2022. The loan can be converted into 34 million common shares from the outstanding principal at a price of VND20,000 ($0.79) apiece.

Before the expected growth in Phat Dat Real Estate’s capital base, its chairman Nguyen Van Dat bought up an additional 51.5 million shares from May 21 to June 5 to maintain his ownership at 38.84%, increasing his total shares from 283.2 million to 334.7 million.

Similarly, Phat Dat Holdings Company Limited, founded by Dat, has acquired 12.3 million to keep its ownership at 9.15%, lifting its total shares from 67.6 million to 79.9 million.

Once the share offerings are completed, Dat and Phat Dat Holdings are projected to spend VND638 billion ($25.05 million) to maintain their 47.5% ownership after the increase in charter capital.

This year, the firm targets VND2.98 trillion ($117.08 million) in revenue, down 6% year-over-year, and VND880 billion in net profit, up 29%. In the first quarter of 2024, the company posted VND161 billion ($6.32 million) in revenue and VND53 billion ($2.08 million) in net profit.

Phat Dat Real Estate aims to complete four projects in the first half of 2024, namely Thuan An, Cadia Quy Nhon, Bac Ha Thanh, and the Poulo Condor hotel in Con Dao island off the southern province of Ba Ria-Vung Tau, and begin sales in late Q2.

As of end-2023, the firm had a land fund of 4,266 hectares, comprising 3,113 ha in the central province of Quang Ngai, and at least six projects qualified to be put on the market, with a combined expected revenue of VND40 trillion ($1.57 billion).

As of end-March, Phat Dat Real Estate had liabilities of VND3.45 trillion ($139.07 million), of which VND385 billion ($15.12 million) was guaranteed by 30.7 million PDR shares.

The firm was pursuing a multi-industry model but divested a 99.8% stake in Phat Dat Industrial Park Investment and Development JSC for VND415 billion ($16.29 million). Additionally, it transferred part of its equity in Phatdat Realty last year due to financial issues. Since then, the company has focused on real estate development.

It had stepped into several projects to develop a sports center in Ho Chi Minh City, a hospital for traumatology and orthopedics in HCMC’s Binh Chanh district, and build-transfer transport infrastructure in the city. However, all of them have come to nothing.

PDR shares opened Friday at VND26,150 ($1.03) apiece.

Comments (0)
  • Read More
First luxury railway journey across Vietnam features Indochine architecture

First luxury railway journey across Vietnam features Indochine architecture

PYS Travel has launched the first luxury railway journey across Vietnam named Sjourney, marking a new milestone in the railway tourism sector.

Travel - Sat, December 21, 2024 | 10:09 am GMT+7

Vietnam among 40 most beautiful countries: US publication

Vietnam among 40 most beautiful countries: US publication

Vietnam has secured the 36th position in the ranking of the 40 most beautiful countries in 2024 in a testament to its undeniable charm and appeal, according to US News & World Report.

Travel - Sat, December 21, 2024 | 10:04 am GMT+7

Foxconn invests $16 mln more in Vietnam’s Quang Ninh province

Foxconn invests $16 mln more in Vietnam’s Quang Ninh province

Competition Team Technology (Vietnam) Company Limited, a subsidiary of Foxconn, will invest an extra $16 million in its “S- Vietnam” project in the northern coastal province of Quang Ninh.

Industries - Sat, December 21, 2024 | 9:53 am GMT+7

Vietnam’s small- and medium-sized businesses embrace digitization to weather global expansion risks: survey

Vietnam’s small- and medium-sized businesses embrace digitization to weather global expansion risks: survey

While global expansion remains a key priority for the country's small- and medium-sized businesses (SMBs), achieving this goal requires overcoming challenges by leveraging the right talent and advanced technologies, including AI, according to Payoneer’s findings.

Companies - Sat, December 21, 2024 | 7:56 am GMT+7

Vietnam tax authorities collect $169 mln from delinquent taxpayers through exit bans

Vietnam tax authorities collect $169 mln from delinquent taxpayers through exit bans

Vietnam's tax authorities have collected about VND4.3 trillion ($169 million) from 6,500 delinquent taxpayers through exit ban measures so far this year, nearly five times the amount reported in the middle of the year.

Finance - Fri, December 20, 2024 | 10:29 pm GMT+7

French, Chinese EV manufacturers to invest in Indonesia

French, Chinese EV manufacturers to invest in Indonesia

Three global electric vehicle (EV) manufacturers - France’s Citroen and China’s BYD and AION - have committed to establishing EV manufacturing plants in Indonesia, Minister of Industry Agus Gumiwang Kartasasmita has announced.

Southeast Asia - Fri, December 20, 2024 | 6:42 pm GMT+7

Thailand optimistic about export prospects for 2025

Thailand optimistic about export prospects for 2025

With an upbeat export growth projection of about 5% this year, Thailand's Ministry of Commerce and its private sector are optimistic for a further 2-3% growth in 2025, bringing total export value to about $305 billion.

Southeast Asia - Fri, December 20, 2024 | 6:36 pm GMT+7

Philippines imposes temporary import ban on live cattle from Japan

Philippines imposes temporary import ban on live cattle from Japan

The Philippines has imposed a temporary ban on the importation of live cattle and buffalo as well as their products from Japan due to the outbreak of lumpy skin disease (LSD), its Department of Agriculture said on Thursday.

Southeast Asia - Fri, December 20, 2024 | 5:53 pm GMT+7

Malaysia-China trade hits nearly $100 bln

Malaysia-China trade hits nearly $100 bln

Malaysia-China economic ties have continued to strengthen, with bilateral trade reaching nearly $98 billion between January and November, matching the 2023 total trade volume.

Southeast Asia - Fri, December 20, 2024 | 5:51 pm GMT+7

Indonesia to stop importing sugar in 2025

Indonesia to stop importing sugar in 2025

The Indonesian government expressed optimism that the plan to stop importing sugar and several other commodities in 2025 will be implemented due to increased domestic production.

Southeast Asia - Fri, December 20, 2024 | 5:50 pm GMT+7

Major defence industry corporations compete for market share in Vietnam

Major defence industry corporations compete for market share in Vietnam

Major western aerospace companies are competing to capture market share in Vietnam, seeing this as a potential market for military aircraft and helicopters, reported Canada’s aviation news website flightglobal.com.

Southeast Asia - Fri, December 20, 2024 | 5:36 pm GMT+7

Vingroup, Marubeni launches 3.7 MWh battery energy storage system in Vietnam

Vingroup, Marubeni launches 3.7 MWh battery energy storage system in Vietnam

Japan's Marubeni Corporation, through its wholly-owned subsidiary Marubeni Green Power Vietnam Co., Ltd, has begun operating a battery energy storage system (BESS) project in Vietnam.

Energy - Fri, December 20, 2024 | 5:19 pm GMT+7

Vietnam Post turns to online sales of agricultural products to stay competitive

Vietnam Post turns to online sales of agricultural products to stay competitive

State-run Vietnam Post Corporation (Vietnam Post) recently launched nongsan.buudien.vn, an e-commerce platform dedicated to agricultural products, with an aim to tap into the year-end market and the promising potential of this business area.

Companies - Fri, December 20, 2024 | 4:25 pm GMT+7

Hong Kong-based furniture firm Man Wah to invest $50 mln more in Vietnam

Hong Kong-based furniture firm Man Wah to invest $50 mln more in Vietnam

Hong Kong-based Man Wah, among the largest home furnishing producers in the world, will invest an additional $50 million in Vietnam’s southern province of Binh Duong.

Industries - Fri, December 20, 2024 | 4:02 pm GMT+7

Vietnam's property giant Vinhomes shakes hands with Nomura Real Estate

Vietnam's property giant Vinhomes shakes hands with Nomura Real Estate

Vietnam’s leading housing developer Vinhomes and Japan’s Nomura Real Estate Development Co., Ltd have signed an MoU on comprehensive strategic cooperation, aiming to leverage the strengths of both sides to bring international-standard products to the market.

Real Estate - Fri, December 20, 2024 | 2:42 pm GMT+7

2024 – a look back at ups and downs

2024 – a look back at ups and downs

Ngo Dang Khoa, head of markets and securities services, and Vu Binh Minh, associate director of rates trading at HSBC Vietnam offers an insight into Vietnam's economic landscape in 2024 and their 2025 forecasts.

Economy - Fri, December 20, 2024 | 1:21 pm GMT+7