A member of Vinacomin is about to list more than 61.9 million shares on HNX

The State Securities Commission (SSC) has issued Official Letter No. 919/UBCK-GSĐC confirming the completion of the public company registration of Deo Nai - Coc Sau Coal Joint Stock Company - TKV.

A Vinacomin subsidiary is about to list over 61.9 million shares on the HNX.

The State Securities Commission (SSC) has issued Official Letter No. 919/UBCK-GSĐC confirming the completion of the public company registration of Deo Nai - Coc Sau Coal Joint Stock Company - TKV.

Deo Nai - Coc Sau Coal Joint Stock Company - TKV was established by merging Deo Nai Coal Joint Stock Company - Vinacomin (formerly TDN) and Coc Sau Coal Joint Stock Company - Vinacomin (formerly TC6). The company was granted a Certificate of Registration for the issuance of shares for exchange No. 38/GCN-UBCK dated May 7, 2024, by the State Securities Commission. The company operates under Business Registration Certificate No. 5702162138 issued by the Department of Planning and Investment of Quang Ninh province on June 24, 2024.

It is understood that after the merger of Deo Nai Coal Joint Stock Company - Vinacomin and Coc Sau Coal Joint Stock Company - Vinacomin, the new entity, Deo Nai - Coc Sau Coal - TKV, will proceed with the listing process. Simultaneously, the two former entities will delist all of their previously listed shares, totaling over 29.4 million TDN shares and over 32 million TC6 shares.

Specifically, according to the announcement of the share swap between TDN and TC6 shares for shares of the merged company, the exchange ratio was 1:1 (meaning 1 TDN share was exchanged for 1 Than Deo Nai - Coc Sau - TKV share and 1 TC6 share was also exchanged for 1 Than Deo Nai - Coc Sau - TKV share), and the transaction was completed in 2024.

According to our research, Coc Sau Coal Mine – Vinacomin and Deo Nai Coal Mine – Vinacomin are both subsidiaries of the Vietnam Coal and Mineral Industry Group (Vinacomin holds 65% of the capital in each company). The merger plan aims to improve efficiency in production and business, address difficulties related to mining, border issues, reserves, waste disposal, streamline organizational structure, and rational labor allocation. The merger will not only reduce the number of entities but also increase resource reserves, minimize human resource management costs, and reduce management expenses, resource taxes, and auxiliary services, thereby improving operational efficiency.

Following the merger of Than Deo Nai - Coc Sau – TKV, it is expected that coal mining will cease at the current mines of Than Coc Sau – Vinacomin and Than Deo Nai – Vinacomin, and instead will focus on mining at the Coc Sau - Deo Nai cluster of mines in Cam Pha City, Quang Ninh Province. Than Deo Nai – Vinacomin has already been assigned the project to mine the Coc Sau - Deo Nai cluster of mines, and prior to the merger, Than Deo Nai – Vinacomin was carrying out preparatory work for the project, including seeking investment approval, preparing environmental impact assessment reports, and conducting verification and appraisal processes.

Regarding the merged entity, Deo Nai - Coc Sau Coal Mine – TKV will continue to focus on its core business activities, which were previously operated by the two companies before the merger: coal mining. The company will increase its financial scale, reduce costs, and improve the efficiency of its production and business operations. Therefore, Deo Nai - Coc Sau Coal Mine – TKV anticipates both revenue and profit increases.

Thus, after the merger, Vinacomin remains the largest shareholder, owning up to 65% of the charter capital of Deo Nai - Coc Sau Coal Mine - TKV.

Returning to the plan for listing a new legal entity, previously, on February 28, 2025, Deo Nai - Coc Sau Coal Mine - TKV also finalized the list of shareholders to register all more than 61.9 million shares at the Vietnam Securities Depository and Clearing Corporation (VSDC) and register for listing shares on the Hanoi Stock Exchange (HNX).

According to the listing plan, Deo Nai - Coc Sau Coal Mine - TKV expects to receive the listing decision on May 8, 2025, and officially list its shares shortly thereafter.

In terms of asset size, after the first year of consolidation, as of December 31, 2024, Deo Nai - Coc Sau Coal Mine - TKV had total assets of VND 2,338.1 billion. Of this, the main assets recorded were VND 834.4 billion in fixed assets, accounting for 35.7% of total assets; inventory recorded VND 608.3 billion, accounting for 26% of total assets; short-term receivables recorded VND 431 billion, accounting for 18.4% of total assets; and long-term receivables recorded VND 241.6 billion, accounting for 10.3% of total assets…

The State Securities Commission (SSC) has issued Official Letter No. 919/UBCK-GSĐC confirming the completion of the public company registration of Deo Nai - Coc Sau Coal Joint Stock Company - TKV.

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