70th anniversary of Hanoi's Liberation Day Vietnam - Asia 2023 Smart City Summit Hanoi celebrates 15 years of administrative boundary adjustment 12th Vietnam-France decentrialized cooperation conference 31st Sea Games - Vietnam 2021 Covid-19 Pandemic
Home / Economy / Banking & Finance
SSC annuls US$440-million bonds issuance of Tan Hoang Minh Group
Ngoc Mai 13:41, 2022/04/05
Tan Hoang Minh said it would refund the capital to investors, in case the bond issuance sessions are canceled upon request from the authorities.

The State Securities Commission of Vietnam (SSC), the country’s stock market watchdog, announced the annulment of nine bonds issuance from the Tan Hoang Minh Group with an issue size of a combined VND10 trillion (US$440 million), for “deliberately concealing information and disclosing false information”.

 Tan Hoang Minh Group is accused of having hidden information and disclosed false information.

Previously, Tan Hoang Minh’s three subsidiaries, including Viet Star Real Estate Investment Company, Winter Palace Company, and Soleil Investment and Hotel Services Company conducted nine corporate bond issuance with a combined issue size of VND10 trillion from July 2021 to March 2022, even though all of them have not been publicly traded firms yet.

Under the conclusion from the SSC, those companies have hidden information and disclosed false information during the process of private bond issuance.

“Such a move is unprecedented,” noted the SSC, whose decision took place after the completion of these sessions.

Depository institutions, therefore, are requested to suspend the transfer of rights ownership of those bonds in question, and the Hanoi Stock Exchange would announce the cancellation of the bond issuance from Tan Hoang Minh.

But it remains unclear how the money would be refunded to buyers.

Tan Hoang Minh recently gained public attention following its forfeit of an escrow of VND588.5 billion ($25.7 million) in a bid for land plot No.3-12 in Thu Thiem New Urban Area of Thu Duc City (Ho Chi Minh City - HCMC).

Viet Star Real Estate Investment Company was the winning bidder with a proposed price of VND24.5 trillion (US$1 billion), despite its total asset value by late 2020 being at only VND7.6 trillion ($332.4 million).

Tan Hoang Minh Group posted a registered capital of VND10 trillion ($437.4 million) and total assets of over VND20 trillion ($880 million) as of late 2020.

In the latest move, Tan Hoang Minh released a statement saying all the bond issuances had been conducted by the law through credible securities companies and banks.

The Group is currently working with law firms and related parties to review the whole process.

“In case these issuances are canceled upon requests from the authorities, Tan Hoang Minh would refund the capital mobilized from investors as stated in the law,” noted the Group.

“This is a regrettable situation, for which we would like to seek understandings from customers,” Tan Hoang Minh said, noting it reaffirms all information over the bond issuances is true.

Tan Hoang Minh is requested to comply with the SSC’s decision from April 3.

TAG: Vietnam SSC tan hoang minh bond issuance Vietnam stock market Vietnam real estate thu thiem vietnam
Other news
21:52, 2024/05/27
C.bank not considering dropping credit growth quota for fear of rising bad debts
Given the unique economic conditions of Vietnam, if banks increase credit growth without control measures, the system could return to the hot credit growth period seen before 2011.
18:20, 2024/05/09
Vietnam's non-cash payments reach US$9.8 trillion, 23 times GDP
Many of the banking industry's digital transformation goals for 2025 are on track to be met or exceeded.
21:53, 2024/05/04
PM urges Central bank to ensure positive growth in 2024
Local lenders are encouraged to provide incentives and attract individuals to take out consumer loans.
17:07, 2024/05/03
Vietnamese Gov't to continue VAT cut for second half of 2024
If the VAT reduction policy is continued for the last six months of the year, the total revenue loss for 2024 is projected to be approximately VND47.5 trillion (US$1.87 billion).
21:54, 2024/04/23
3,400 taels of gold purchased at the first-in-11-year auction
Gold trading firm SJC and lender ACB are the two successful bidders at the auction held today.
16:19, 2024/04/22
HoSE to launch KRX-developed transaction system in early May
Brokerage firms are expected to prepare data for the transition to the new system.