PVR Hanoi stops operations due to lack of money, investors stuck with over 250 billion VND with "shelved" project

ANTD.VN - PVR Hanoi Investment Joint Stock Company - the investor of the Hanoi Time Tower project - continues to request to stop operations in 2025 due to lack of funds to maintain operations.

The Board of Directors of PVR Hanoi Investment Joint Stock Company (PVR) has just decided to stop business operations in 2025. According to Mr. Bui Van Phu - Chairman of the Board of Directors of the Company, the reason for the temporary suspension of business operations is due to lack of funds to maintain operations. At the same time, the Company needs to rearrange its personnel and seek new solutions and business directions to overcome the current difficult period.

Thus, this will be the second consecutive time that PVR has stopped its business operations. Previously, in mid-November 2023, PVR requested to temporarily stop its business operations until mid-November 2024. The reason was also to rearrange personnel and find a new business direction.

Then, in mid-September 2024, the company was granted a Certificate of Registration to resume operations ahead of schedule by the Hanoi Department of Planning and Investment. However, after only 3 months, the company had to temporarily suspend operations again.

At the end of October 2023, the Company also announced that its bank account was frozen due to a dispute with the Vietnam Oil and Gas Construction Joint Stock Corporation (PVC), resulting in insufficient operating funds.

In the lawsuit with PVC, the Court decided that PVR must pay PVC a total of more than 49 billion VND. At the General Meeting of Shareholders last September, the Company's Board of Directors said that the Company will continue in the appeal hearing but the possibility of winning the lawsuit is very low.

Hanoi Time Tower project "shelved" for decades

Responding to shareholders about the temporary suspension of business, Mr. Bui Van Phu said: The company does not have the financial capacity, so the debts cannot be resolved, the short-term loans of the Board of Directors and major shareholders are not yet able to be paid. The company is focusing on resolving pending lawsuits, so there is no business solution in the near future.

PVR was formerly Tan Vien Petroleum Joint Stock Company, a member of PVC under Vietnam Oil and Gas Group (PVN). This enterprise was established in November 2006 to undertake the fields of investment and business in real estate, sports services, entertainment, tourism, and high-end resorts.

By the end of the third quarter of 2024, the Company had a charter capital of VND 531 billion. Of which, Ms. Tran Thi Tham (wife of Chairman of the Board of Directors Bui Van Phu) is the largest shareholder holding 24.05% of capital, followed by PVI Fund Management Company (holding 8.38%) and Dai Duong Group (holding 6.14%). In addition, the Civil Judgment Enforcement Office of Hoan Kiem District is also holding 5.68% of PVR's capital. Chairman of the Board of Directors Bui Van Phu only holds 5.23%.

PVR is known as the investor of the Hanoi Time Tower apartment project. The project has a total investment of nearly 1,500 billion VND, built on an area of ​​over 7,000 m2, including 41 floors, located at Lot CT10 - CT11 Van Phu Urban Area, Ha Dong, Hanoi.

From the end of 2010 to 2012, PVR conducted transactions related to Hanoi Time Tower with customers through 03 contracts: apartment purchase and sale, capital contribution and deposit agreement.

According to the capital contribution contract, the investor will hand over the houses to customers by the end of 2013 at the latest. According to the sales contract, customers will receive the houses by the end of 2014 at the latest. The total number of apartments that the investor has transacted is 531/639 with the amount of money mobilized being over 240 billion VND.

However, after many times of "changing the blood" of PVR's shareholder structure with the participation of enterprises such as Ocean Group, MHD Hanoi Joint Stock Company..., up to now, the project is still "shelved".

Previously, PVR also invested in the Tan Vien High-end International Tourist Area (Ba Vi). However, this project was also terminated and its investment certificate revoked in 2019.

PVR's financial situation is also dire. As of the end of the third quarter of 2024, the company recorded total assets of about VND976 billion, of which nearly VND693 billion was inventory at the Hanoi Time Tower project.

Liabilities are about VND 517 billion, including a prepayment of VND 256.6 billion received from customers in 2021, also belonging to the Ha Noi Time Tower project.

This enterprise has not recorded revenue in the past 3 years, with accumulated losses from the beginning of the year to the end of the third quarter of 2024 of nearly 1.4 billion VND.

The company's stock price is currently only 1,000 VND. This stock code is also under warning and restricted trading on the HNX floor.

Source: https://www.anninhthudo.vn/pvr-ha-noi-dung-hoat-dong-vi-het-tien-nha-dau-tu-ket-hon-250-ty-dong-voi-du-an-dap-chieu-post598890.antd