Vietnam's agri major Hoang Anh Gia Lai fined for bond information disclosure failure

Vietnam's agri major Hoang Anh Gia Lai JSC has been fined VND92.5 million ($3,528) for failing to disclose bond-related information as required by law.

This follows a decision issued by the State Securities Commission (SSC) imposing "an administrative penalty in the field of securities and securities market" against the company.

Accordingly, Hoang Anh Gia Lai, listed on the Ho Chi Minh Stock Exchange as HAG, did not disclose information on the Hanoi Stock Exchange’s system regarding reports on the use of proceeds from outstanding bonds audited by a qualified audit organization for 2023, 2024, and the first half of 2024.

The company is currently seeking shareholder approval for a plan to issue 210 million HAG shares at a price of VND12,000 ($0.46) each to swap for VND2.52 trillion ($96.13 million) worth of bond debts.

This share price is lower than HAG’s current market price (around VND15,000 per share), and the swapped shares will be subject to a one-year lock-up period.

The list of bondholders participating in the debt-to-equity swap includes one organization and five individuals. The only organization is Huong Viet Investment Consulting JSC, with an outstanding debt of nearly VND721 billion ($27.5 million). After the issuance, the company is expected to hold a 4.74% stake of Hoang Anh Gia Lai.

The individual creditors include Nguyen Thi Dao, Phan Cong Danh, Nguyen Anh Thao, Ho Phuc Truong, and Nguyen Duc Trung. Among them, Dao, Truong, and Trung are expected to each hold over 3% after the share issuance.

As of June 30, 2025, Hoang Anh Gia Lai, chaired by Doan Nguyen Duc (commonly called "Bau Duc"), had total assets of VND26 trillion ($991.78 million). Of this, short-term liabilities amounted to VND13.72 trillion, up 23% compared to the beginning of the year, and exceeding the company's short-term assets.

In 2025, the firm, headquarted in the central province of Gia Lai, targets VND5.5 trillion ($211.6 million) in net revenue, with 76% coming from fruit and 19% from pig farming.

It projects VND1.11 trillion ($42.7 million) in after-tax profit, which will mark its fourth consecutive year of surpassing the VND1 trillion ($38.38 million) profit mark if achieved.