Hoang Anh Gia Lai (HAG) stock price drops, Bau Duc's daughter acquires more

HAG's price dropped to the floor, Bau Duc's daughter took the opportunity to acquire 1 million more shares

After strong price increases, Hoang Anh Gia Lai JSC (HAG) shares have dropped to the floor, causing investors to panic. After peaking at VND13,500/share, HAG began to drop to the floor in the trading session on December 19, 2023, down to VND12,400/share. There was a situation of "no buyers".

The floor price drop took place right after the company's investor meeting. Notably, during the meeting, the company announced that Hoang Anh Gia Lai planned to sell the University of Medicine and Pharmacy Hospital - Hoang Anh Gia Lai located on Le Duan Street, Pleiku City, Gia Lai Province to raise money to pay off debt.

Hoang Anh Gia Lai (HAG) shares hit the floor, Bau Duc's daughter acquired 1 million more shares (Photo TL)

Despite the floor price drop, Ms. Doan Hoang Anh, daughter of Mr. Doan Nguyen Duc - Chairman of the Board of Directors of Hoang Anh Gia Lai Joint Stock Company, registered to buy 1 million shares through order matching on the floor. The transaction is expected to take place from December 25, 2023 to January 23, 2024.

Currently, Ms. Hoang Anh owns 10 million HAG shares, equivalent to 1.08% ownership. If the transaction is successful, Ms. Hoang Anh is expected to increase her ownership to 1.19%. Mr. Doan Nguyen Duc, Chairman of the Board of Directors, currently owns 320 million HAG shares, equivalent to 34.5% of charter capital.

Continuously reporting profits but HAG still has to sell many assets to pay debts

Regarding business performance, in the past 2 years, HAG has continuously reported profits of hundreds of billions of VND per quarter. The company's last loss report was in the first quarter of 2021 with a loss after tax of about 68.8 billion VND.

It is worth mentioning that despite continuously reporting profits, HAG has had to announce many times to extend bond debt. The company is even having to sell many assets such as hotels and hospitals to get money to pay off due debts.

Even HAG's recent private placement of 130 million shares was done with the aim of raising capital to pay off debt.

In the third quarter financial report, Hoang Anh Gia Lai recorded revenue of VND1,889.4 billion, up 31.1% over the same period. Profit after tax reached VND324.6 billion, up 12.2%. Part of the sudden increase in profit was recorded from the liquidation of fixed assets, contributing VND144.1 billion to the company's third quarter business results.

Immediately after that, in October 2023, Hoang Anh Gia Lai's revenue also recorded 711 billion VND, an increase of 52.3% over the same period. Of which, the fruit tree segment contributed 57.7%, equivalent to 410 billion VND. The livestock segment contributed 27.8%, equivalent to 198 billion VND. It is worth noting that the company continued not to announce profits as it did in previous monthly reports.

Source: https://www.congluan.vn/hoang-anh-gia-lai-hag-co-phieu-giam-san-con-gai-bau-duc-muon-thau-tom-them-post277398.html