Novaland Group (NVL) promotes the sale of a series of assets, expected to collect more than 1 billion USD

Novaland Group (stock code NVL) announced that it is accelerating the liquidation of a series of assets with a total expected sale value of over VND 25,400 billion. Of these, seven assets have already had preliminary sales contracts signed with a total value exceeding VND 12,300 billion.

Novaland Group announced that it is coordinating with relevant authorities to resolve legal obstacles and complete the sales plan for projects such as NovaWorld Phan Thiet and Aqua City in December 2024.

Novaland Group Joint Stock Company ( Novaland Group, stock code NVL - HoSE) has just announced that it is liquidating assets with a total expected sale price of over VND 25,400 billion, equivalent to USD 1.02 billion. Specifically, Novaland Group offered 15 assets for sale in the first six months of the year. Of these, the group successfully sold one asset, generating VND 1,000 billion. In addition, Novaland Group signed preliminary contracts to sell 7 assets with a total value of over VND 12,360 billion; and signed memoranda of understanding to sell 3 other assets with a total value of approximately VND 9,100 billion. Furthermore, the group has also received offers to purchase 3 assets with a total value of nearly VND 2,000 billion. Regarding products already sold or currently being sold at projects such as NovaWorld Phan Thiet and Aqua City; Regarding Grand Manhattan, Novaland Group stated that it is coordinating with the Government and local authorities to resolve legal obstacles in order to complete the sales plan in December this year. In early April this year, Novaland Group also sold its entire stake in Huynh Gia Huy Joint Stock Company for less than 2 billion VND. Huynh Gia Huy Company is the investor in the NovaHills Mui Ne Resort & Villas (Centana Mirage Resort Mui Ne) project, comprising 603 beachfront villas in Phan Thiet City, Binh Thuan Province. Novaland Group emphasized that these asset sales efforts are aimed at restructuring cash flow to secure sufficient resources for business operations.

Price and trading volume movements of NVL shares of Novaland Group from the beginning of 2024 to the present. (Source: TradingView)

According to the consolidated semi-annual financial report for 2024, as of the end of June 2024, Novaland Group's total assets reached VND 238,800 billion, the same as at the beginning of the year. However, cash decreased sharply to nearly VND 850 billion, and cash equivalents amounted to VND 1,300 billion. The total value of these two items accounts for less than 1% of Novaland Group's total assets. Meanwhile, inventory and accounts receivable increased, reaching VND 144,000 billion and over VND 76,000 billion respectively. Novaland Group's liabilities also exceeded VND 200,000 billion, of which financial debt amounted to VND 59,200 billion (bond debt reached VND 38,400 billion). Regarding bond debts, Novaland Group stated that it has reached several initial restructuring agreements for bond debts totaling over VND 17,300 billion. In addition, the group's leadership expects to receive an additional credit line of nearly VND 12,500 billion in the next 12 months. In terms of business performance, in the first six months of the year, Novaland Group recorded a record high consolidated after-tax loss of VND 7,327 billion, in contrast to the profit of VND 345 billion reported in its self-prepared report. Source: https://tapchicongthuong.vn/tap-doan-novaland--nvl--xuc-tien-ban-loat-tai-san--du-thu-ve-hon-1-ty-usd-128111.htm