FLC's company's debt of more than 130 billion is put up for auction.

According to the announcement, the total debt value of CFS Investment, Trade and Import-Export is estimated to be nearly 133.2 billion VND as of May 6, 2025. Of which, the principal balance is 99.49 billion VND and the interest balance, overdue interest, and late payment interest are estimated to be over 33.7 billion VND as of May 6, 2025.

The collateral for the debt is 7 Land use rights according to 7 Certificates of land use rights, house ownership rights and assets attached to land issued by the Department of Natural Resources and Environment of Thanh Hoa province to FLC Group Joint Stock Company.

According to the Land Use Rights Mortgage Contracts No. 104 to No. 110 dated February 20, 2020 signed between the mortgagor, FLC Group Joint Stock Company, and the mortgagee, Agribank Tay Do Branch. The mortgaged assets were registered for secured transactions at the Thanh Hoa Land Registration Office on February 20, 2020. Scope of security: VND 111,296,900,000/asset value: VND 148,359,900,000.

The starting price for the auction is 136.87 billion VND. The selling price does not include taxes, fees, charges and other financial obligations payable as prescribed.

Assets are auctioned as-is (including outstanding debts, legal status and potential risks) and on an as-is basis.

FLC's company's debt of more than 130 billion is put up for auction.

CFS Investment, Trade and Import-Export Joint Stock Company (formerly Tan My Dinh Investment and Trade Services Joint Stock Company) was established on September 18, 2009. The company operates mainly in the fields of Airline ticket agency; Trading in other construction materials and installation equipment; Travel agency, tour operation; Providing food services under irregular contracts with customers.

Similar to many businesses in the FLC ecosystem, KLF has fallen into a crisis spiral after serious violations of information disclosure.

KLF shares were delisted and transferred to UPCoM trading from February 2024. However, just a few months later, this stock code was put on trading restriction due to failure to timely publish the audited financial statements for 2023. To date, after nearly a year, the company has not yet published the 2023 financial statements, nor has it held the 2024 Annual General Meeting of Shareholders, causing the warning and trading restriction to continue.

According to the most recent financial report published, KLF reported a net loss of nearly VND 45 billion in the first 9 months of 2023, a sharp increase compared to the loss of nearly VND 30 billion in the same period in 2022. Accumulated losses by the end of September 2023 exceeded VND 54 billion. Although total assets reached VND 2,264 billion, the asset structure was not healthy: receivables reached VND 1,870 billion, accounting for 83% of total assets.

In particular, the outstanding short-term debt at that time amounted to VND475 billion, accounting for more than 70% of total liabilities. FLC, as the former parent company, was also one of KLF's largest creditors with an outstanding debt of nearly VND150 billion.

Source: https://baodaknong.vn/khoan-no-hon-130-ty-cua-cong-ty-ho-flc-duoc-dua-ra-dau-gia-253911.html