"HQC intends to trade 50 million shares for debt, offering the securities at a price double the current market value"
Hoang Quan Consulting - Trading - Service Real Estate Corporation (HoSE: HQC) has announced a plan to privately issue 50 million shares at a price of VND10,000 per share, more than double the current market price.
In the second quarter of 2025, the company reported a negative net revenue of VND10.83 billion. This is a significant drop compared to the first half of the year, where net revenue reached VND38.1 billion, up 4.6 per cent, while post-tax profit was VND10.06 billion, down 34.9 per cent.
The negative net revenue was due to returned goods worth VND32.85 billion exceeding sales and service revenue. The company has also faced challenges with several customers failing to meet payment obligations, forcing the company to cancel contracts and reclaim products.
In an effort to improve its financial position, Hoang Quan has shut down five low-performing branches. The company has also made strides in restructuring its debt, with one of the creditors participating in the swap being Haï Phát Investment JSC (HoSE: HPX). Haï Phát Investment JSC will convert receivables of VND212 billion from Hoang Quan into 21.2 million HQC shares.
The privately issued shares will be worth VND500 billion (US$19 million). Notably, the company's chairman, Truong Anh Tuan, completed the purchase of 25 million HQC shares in June 2025.
It's important to note that, at the time of this report, there are no direct search results specifically reporting on the share issue or financial performance of Hoang Quan Consulting for 2025. The available results cover financial and share issuance information regarding other Vietnamese companies, but not Hoang Quan.
For accurate and up-to-date information on Hoang Quan Consulting's share issuance and financial performance in 2025, consulting official company filings, stock exchange disclosures (if listed), or direct company announcements would be necessary.
The deal follows an agreement between Hoang Quan and Haï Phát Investment JSC to suspend a previously planned project in Lâm Đông. All newly issued shares will be subject to a one-year transfer restriction from the completion date.
The company's financial performance in the first half of 2025, while showing signs of struggle, is not reflective of the company's targets for the year. Compared with its 2025 targets, the company has achieved only 14.4 per cent of its profit goal. However, it's crucial to keep in mind that the second quarter's negative net revenue is not indicative of the company's overall financial health for the entire year.
In the broader context of the Vietnamese market, some large firms such as Vingroup have shown strong financial performance in H1 2025, with Vingroup reporting a 120% increase in net profit driven by real estate and electric vehicle segments. Other real estate firms like DIC Corp have engaged in share offerings in 2025 and have active real estate projects contributing substantial commercial land sales, but no mention of Hoang Quan Corporation was found in these reports.
In conclusion, Hoang Quan Consulting is currently navigating financial challenges, as shown by the negative net revenue in Q2 2025. The company is taking steps to improve its financial position, including a share issue and restructuring efforts. For the most accurate and up-to-date information, investors are encouraged to follow official company announcements and filings.
- In an attempt to strengthen its financial position and achieve its profit goals for the year, Hoang Quan Consulting is planning to invest in the ai industry, as evidenced by their agreement with Haï Phát Investment JSC.
- The upcoming share issue by Hoang Quan Consulting, worth VND500 billion ($19 million), signals a strategic move in the finance industry, as the company seeks to raise capital and reinvest in its business and real-estate endeavors.
- Despite the financial struggles experienced in the first half of 2025, the South Vietnamese industry landscape shows promising growth, with companies like Vingroup excelling in real-estate and electric vehicle segments, creating opportunities for investment, including Hoang Quan Consulting.
