Shares of Rang Dong Holding JSC (code: RDP) have just been put on restricted trading after the Ho Chi Minh City People's Court decided to open bankruptcy proceedings against this enterprise.

Specifically, the Hanoi Stock Exchange (HNX) has announced that RDP shares of Rang Dong Holding will be restricted from trading from August 21 because the enterprise officially entered bankruptcy proceedings.

Previously, on July 10, RDP was put on warning for not holding the 2024 Annual General Meeting of Shareholders within the prescribed time limit since the end of the fiscal year.

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Mr. Ho Duc Lam, Chairman of the Board of Directors of Rang Dong Holding. Photo: RDP

Rang Dong Holding is known as a long-standing plastic products manufacturer in Ho Chi Minh City. However, since switching to a holding model (parent company - subsidiary) and expanding into the real estate sector, Rang Dong Holding has begun to decline.

From a record profit of VND70 billion in 2019, Rang Dong Holding fell into a long losing streak, culminating in 2023 with a loss of VND147 billion, increasing the accumulated loss to VND206 billion. Short-term debt exceeded short-term assets by VND122 billion, causing doubts about the company's ability to continue operating.

The 2024 semi-annual financial report shows that Rang Dong Holding lost an additional VND64 billion, increasing its accumulated loss to VND266 billion. Total liabilities are more than VND1,700 billion, 6 times the owner's equity, mainly financial loans.

The crisis at Rang Dong Holding became more serious when in February 2025, all 5 members of the Board of Directors resigned, including Chairman of the Board of Directors Ho Duc Lam and his son.

Mr. Lam is known to be the younger brother of Ms. Ho Thi Kim Thoa, former Deputy Minister of Industry and Trade , who has been prosecuted and wanted since July 2020.

Source: https://vietnamnet.vn/bi-mo-thu-tuc-pha-san-cong-ty-em-trai-cuu-thu-truong-lam-chu-tich-them-ket-dang-2434363.html