(BCG) - Nguyen Hoang Development Joint Stock Company - a subsidiary company of Bamboo Capital Group (HOSE: BCG) has just held an Extraordinary General Meeting of Shareholders on December 10, 2021. The noteworthy final resolutions included approval of the proposal to the company managements and the process of an initial public offering (IPO).
Nguyen Hoang was established in 2000, fifteen years later, it was purchased outright and restructured by BCG. Nguyen Hoang is one of the leading manufactures and traders of wood products in the Central Highlands of Vietnam. Their interior and exterior wooden furniture is exported to many main markets such as the US, Europe, Australia, Singapore, etc.
As of November 26, 2021, Nguyen Hoang has 145 shareholders, charter capital of 400 billion VND. After the approval of the General Meeting of Shareholders the DOB is going to carry out the necessary procedures to register for trading on Hanoi Stock Exchange.
In addition, the General Meeting of Shareholders also elected the personnel of the Board of Directors and Supervisory Board for the term 2021-2026. Accordingly, Mr. Nguyen Ho Nam, former Chairman of the Board of Directors of Nguyen Hoang, resigned to focus on his roles of Chairman of the Board of Directors at BCG. Mr. Nguyen The Tai (currently Vice Chairman of the Board of Directors and General Director of BCG) was elected as Chairman of the Board of Directors. Mrs. Hoang Thi Minh Chau was elected as Vice Chairwoman and General Director, Mrs. Le Thi Mai Loan was elected as Vice Chairwoman. Mrs. Tran Thi Kieu Tien and Mrs. Huynh Thi Kim Tuyen are outside directors.
Established earlier than any other member, Nguyen Hoang is a key player in the ecosystem of BCG Group. BCG's strategic development orientations in recent years has always been to focus on developing renewable energy, real estate and construction - infrastructure, so the resources for Nguyen Hoang are relatively limited, but it still shows great growth potential. During the Covid-19 pandemic, Nguyen Hoang has been operating at a full capacity to meet customers’ orders.
Mr. Nguyen The Tai - Chairman of the Board of Directors of Nguyen Hoang - said: “We understand that stock market development translates to a golden opportunity for Nguyen Hoang to raise financial capital for business expansion. This is the right time that Nguyen Hoang needs to go public. It is expected that the stock will be traded on Upcom. We will continue to improve our corporate governance and management standards to achieve better business results, meet investors' expectations, and aim at listing on the HNX or HoSE."
In the business plan for 2022, Nguyen Hoang is expected to set a target of VND 650 billion in revenue and VND 60 billion in profit. As of September 30, 2021, Nguyen Hoang's total assets reached VND 459 billion, of which VND 274 billion were long-term assets, and VND 185 billion were short-term assets.
Aside from Nguyen Hoang, which is about to be listed on Upcom, BCG has another subsidiary company listed in 2017, Transport and Industry Development Investment JSC (HOSE: TCD). Currently, both TCD and BCG are issuing bonus shares for the existing shareholders.
TCD has decided to issue bonus shares in the ratio of 1:1, at the price of VND 10,000 /share. The time to transfer the share purchase rights is from December 6 to December 31. Time for registration and paying is from December 6 to January 5. If it is a success, Tracodi's charter capital will increase from VND 872 billion (at present) to more than VND 1,744 billion.
On the other hand, BCG is issuing bonus shares in the ratio of 2:1, at the price of VND 12,000 /share. The time to transfer the share purchase rights is from December 14, 2021 to January 10, 2022. The time to register and pay is from December 14, 2021 to January 14, 2022. After this offering, the charter capital of BCG is expected to increase to VND 4,463 billion.