Major real estate developers' plans for massive capital increases.

With the positive economic recovery, many businesses have raised tens of trillions of VND through the stock market. According to data from the Ministry of Finance , as of the end of June 2024, the total actual capital raised on the stock market was estimated at 181,345 billion VND.

Previously, during the 2024 annual general meeting season, many companies presented and had their share offering plans approved by shareholders to raise capital, especially in the banking, real estate, and securities sectors. Share offering activities are expected to continue to be vibrant in the coming period.

In the industrial real estate sector, several companies are attracting attention with plans to issue hundreds of millions of shares, raising tens of billions of dong.

For example, the Industrial Investment and Development Corporation - JSC (Becamex IDC, ticker: BCM) is planning to issue 300 million shares through a public auction at a price no lower than 50,000 VND per share.

According to the plan, Becamex IDC will raise at least VND 15,000 billion from the offering to develop a series of key industrial parks, contribute capital to existing companies, and restructure the corporation's finances. Of this amount, VND 6,300 billion will be used for project investment, VND 3,634 billion for capital contributions to existing members, and VND 5,066 billion for financial restructuring.

Another name attracting much attention is Kinh Bac Urban Development Corporation - JSC (Code: KBC), which is also planning a massive capital increase through a share issuance.

According to a report from DSC Securities Company, Kinh Bac is finalizing the application to the State Securities Commission for the issuance of 250 million shares through a private placement, at a price no less than 80% of the average closing price of the 30 preceding trading sessions. The estimated value of the proceeds from this issuance is approximately 6,000 billion VND.

Previously, Becamex Infrastructure Development Joint Stock Company (Becamex IJC, ticker: IJC) successfully offered nearly 126 million IJC shares at a price of VND 10,000 per share, raising an estimated total of VND 1,259 billion. This increased the company's charter capital to VND 3,777 billion.

According to the plan, Becamex IJC will use 366 billion VND of the funds raised to invest in capital through the purchase of newly issued shares in Becamex Binh Phuoc Infrastructure Development Joint Stock Company; 853.4 billion VND to repay short-term and long-term bank loans, bonds, and customer debts; and 39.6 billion VND to supplement working capital.

Similarly, Sonadezi Chau Duc Joint Stock Company (HOSE: SZC) also successfully offered nearly 60 million shares at a price of VND 20,000 per share, raising VND 1,198 billion. Sonadezi Chau Duc plans to use all of this money to supplement investment capital, construct the Chau Duc Industrial Park project (Chau Duc district, Ba Ria - Vung Tau province), restructure loan debts with credit institutions, and pay principal and interest on bonds due.

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