Becamex raises 1,800 billion VND from bonds.

Becamex has completed the issuance of its fourth bond tranche worth VND 500 billion, bringing the total value of capital raised from bonds since the beginning of 2024 to VND 1,800 billion.

Becamex Industrial Investment and Development Corporation (Becamex, stock code: BCM) recently announced the results of its private placement of bonds (code BCMH2427003) to the Hanoi Stock Exchange (HNX) and the Ho Chi Minh City Stock Exchange (HoSE). The issuance volume was 5,000 bonds. Each bond has a face value of VND 100 million, totaling VND 500 billion.

This bond issue was launched domestically on August 14th and completed on August 22nd. The bonds have a 3-year term, meaning they mature on August 14th, 2027. The applicable interest rate is 10.2% per annum.

Previously, Becamex had completed the issuance of three bond tranches, including tranche BCMH2427001 worth 800 billion VND, tranche BCMH2427002 worth 200 billion VND, and tranche BCMH2427004 worth 300 billion VND.

In 2023, Becamex also raised VND 3,706 billion through three bond issuances. The first two issuances were in July 2023, worth VND 2,000 billion, and in October 2023, worth VND 406 billion. By the end of the year, the company issued an additional bond issue worth VND 1,300 billion.

Becamex aims for total revenue of VND 9,000 billion and after-tax profit of VND 2,350 billion in 2024, representing increases of 2% and 3% respectively compared to 2023. The company expects to pay a dividend of 10% this year.

After half a year, the company recorded net revenue of over VND 1,967 billion, a 4.3% increase compared to the same period last year. After deducting expenses, the company reported pre-tax profit of VND 372 billion and after- tax profit of over VND 406 billion, respectively 3.7 times and 8.3 times higher than the same period last year. Accordingly, the company has completed 21.9% of its revenue plan and 17.3% of its profit target.

In a recently published report, ASEAN Securities Joint Stock Company forecasts Becamex's 2024 revenue to reach VND 5,486 billion, a 30% increase year-on-year, and net profit attributable to parent company shareholders to reach VND 1,767 billion, a 38% decrease year-on-year.

This forecast stems from the company's ownership of a large industrial land bank in Binh Duong province and the recovery of revenue from FDI-funded businesses. In addition, the Cay Truong Industrial Park project has received planning approval and is awaiting investment policy approval. Furthermore, the gradual recovery of the residential real estate market from the end of this year will help improve Becamex's revenue.

ASEAN Securities' analysis team recommends buying BCM shares with a target price of VND 80,332 per share (an 11.5% increase from the current market price). Taking a more optimistic view, in a report published in early August 2024, MB Securities Joint Stock Company (MBS) expects a one-year target price of VND 82,500 for BCM.

As of the end of June 2024, Becamex had total assets of approximately VND 54,806 billion, an increase of VND 1,382 billion compared to the beginning of the period. Liabilities increased slightly from VND 33,951 billion at the beginning of the year, reaching VND 35,065 billion. Equity was over VND 19,741 billion, and undistributed after-tax profit reached VND 6,043 billion.

On the stock market, BCM shares are trading at around 72,000 VND, a slight decrease from their peak of nearly a year recorded at the end of July 2024 (73,300 VND). The average trading volume over the last 10 sessions is over 750,000 units. With 1.035 billion shares listed on the HoSE, the market capitalization is 74,520 billion VND.

Source: https://baodautu.vn/becamex-thu-1800-ty-dong-tu-trai-phieu-d223981.html