Photo: thoibaotaichinhvietnam.vn
The group has announced the Board of Directors’ resolution to approve the results of the offering of additional shares to existing shareholders in order to increase charter capital from more than VND 2,247 billion to more than VND 3,371 billion.
Cienco4 successfully offered 96.65 million C4G shares to existing shareholders between April 7 and April 28, 2023. On September 9, Thao received the remaining 15.7 million shares, which amounted to nearly 14% of the offered shares and 4.66% of the group’s charter capital.
Cienco4’s new shareholder was born in 2004.
Previously, on April 28, VNDirect exercised the right to buy more shares for existing shareholders in the aforementioned offering, purchasing 5.27 million of the 10.4 million C4G shares available for purchase. VNDirect’s ownership in Cienco4 fell from 9.24% to 7.72% after the issuance, equating to more than 26 million shares.
This move was surprising given that VNDirect had previously purchased C4G shares on a regular basis. On April 3, VNDirect successfully purchased nearly 2.05 million shares of C4G, becoming a major shareholder with 5.61% of Cienco4 shares. Following that, this securities firm purchased nearly 3.6 million C4G shares on April 4; 1 million shares on April 13; and 815,000 shares of C4G on April 21, bringing its total ownership to 20.76 million shares, a rate of 9.24%.
The stock is currently trading at around VND12,800 per share, its highest level in 7 months. This market price is 2.3 times higher than the bottom reached in mid-November of last year, but it is still only half of the peak reached more than a year ago.
In terms of first-quarter business results, Cienco4 reported net revenue of more than VND460 billion and profit after tax of nearly VND41 billion, both of which were up 8% and 27%, respectively, over the same period. Cienco4 expects revenue of VND 4,500 billion and profit after tax of VND 330 billion in 2023, with a dividend of 10%. As a result, after the first quarter of the year, the company has only met 10% of its revenue target and 12% of its profit target.
Cienco4 was founded in 1962 as a state-owned enterprise under the Ministry of Transport. The enterprise began operating as a joint stock company in June 2014, with an initial charter capital of VND600 billion. In December 2018, the company registered its shares for trading on UPCoM.
Cienco4 is currently working on a number of large-scale bidding packages for transportation industry key projects, such as the XL04 package for the Nghi Son – Dien Chau highway, the XL09 package for the Cam Lo – La Son highway, the XL02 package for the Phan Thiet – Dau Giay highway, and the XL02 package for the My Thuan – Can Tho Expressway…
