Sabeco wants to increase ownership in Saigon Binh Tay Beer to 65.9%

Sabeco plans to make a public offering to buy 37.8 million shares of Saigon Binh Tay Beer (SSB), increasing its total ownership to 65.9% and becoming the parent company of this enterprise.

Saigon Beer - Alcohol - Beverage Corporation (Sabeco - stock code SAB) has just announced a resolution approving a plan to publicly offer to buy more than 37.8 million shares of Saigon Binh Tay Beer Group Joint Stock Company (Sabibeco - stock code: SBB).

If the deal is successful, Sabeco will increase its total ownership in Saigon Binh Tay from 22.7% (nearly 19.9 million shares) to 65.9% (57.7 million shares), thereby becoming the parent company of this enterprise. The transaction is expected to be carried out in 2024, after the State Securities Commission announces that it has received a complete dossier.

The purpose of purchasing 43.2% of capital at Saigon Binh Tay, Sabeco said it wanted to increase ownership at Sabibeco Group to expand the scale of the company's production and business activities. Sabeco plans to continue operating according to Sabibeco's business plan approved by the General Meeting of Shareholders.

With the offer price of VND22,000/share, Sabeco plans to spend more than VND830 billion to complete the deal. On the stock exchange, SBB shares are currently at VND18,000, 18.2% lower than the price Sabeco set.

Prior to this transaction, Sabeco was still the largest shareholder at Sabibeco. Of the 19.9 million SBB shares that Sabeco holds, 5.5 million shares (equivalent to 6.3% of charter capital) are owned by people related to the company.

Sabeco targets revenue this year at VND34,397 billion, up 12.9% year-on-year. Profit after tax is expected to be VND4,580 billion, up 7.6% compared to the actual figure in 2023.

After half a year, the company has completed 44.4% of its revenue plan, reaching nearly VND15,270 billion (up 5% over the same period last year). The company reported a profit after tax of VND2,342 billion, up 6% over the same period and completing 51.2% of its profit target.

Commenting on the beer market, Sabeco said that the difficulties are due to the severe impact of the Covid-19 pandemic, the impact of a number of related policy mechanisms such as the Law on Prevention of Alcohol Harm, Decree 100. In addition, people are tightening their spending with increasingly strict consumer tastes and requirements for packaging design, quality... along with competitive pressure on businesses in the industry.

However, Sabeco still expects 2024 to continue to bring "golden" opportunities for the Vietnamese beer industry such as a golden population structure, rapidly increasing income, great potential of the "non-alcoholic beer" segment and potential for export markets.

As of the end of the second quarter of 2024, Sabeco's total assets were over VND34,153 billion, a slight increase compared to the beginning of the period. Liabilities were approximately VND9,024 billion, most of which were short-term debts. Owner's equity was approximately VND25,130 billion, and undistributed profit after tax reached VND9,823 billion.

Source: https://baodautu.vn/sabeco-muon-tang-so-huu-tai-bia-sai-gon-binh-tay-len-659-d224302.html