Becamex temporarily halts the historic stock sale.

Becamex IDC will temporarily suspend the auction of 300 million shares on the HoSE exchange after the market price of BCM shares dropped by 25% within a week.

On April 11th, the General Corporation for Investment and Industrial Development (Becamex IDC, stock code: BCM) announced the temporary suspension of its public offering of additional shares to raise capital. According to the company's Board of Directors (BOD), current market conditions are not favorable for the offering, necessitating the postponement to protect shareholder interests. Becamex IDC will restart the transaction at a more suitable time.

At the close of trading on the morning of April 11th, BCM shares hit a floor price decrease of 7%, reaching 56,500 VND per share, while the stock market rose nearly 30 points. Since U.S. President Donald Trump's announcement of plans to impose tariffs on trade partners on April 2nd, the market price of BCM has fallen by 25%.

Initially, Becamex IDC planned to auction 300 million shares through bidding on the Ho Chi Minh Stock Exchange (HoSE) at a starting price of 69,600 VND per unit. If the transaction is completed, the company expects to raise at least nearly 20.88 trillion VND, with its charter capital increasing from 10.35 trillion VND to 13.35 trillion VND.

According to SSI Securities, this is one of the largest public offerings in the history of Vietnam's capital market. Currently, the Binh Duong Provincial People's Committee holds over 95% of Becamex IDC's capital. In the event that all 300 million BCM shares are successfully sold, state shareholders would reduce their ownership to approximately 74%.

VSIP Nghe An Industrial Park.. Picture: BCM

With the funds raised, Becamex IDC plans to use over 8.4 trillion VND to construct the Cây Trường and Bàu Bàng industrial parks and to further invest in the Vietnam-Singapore Industrial Park (VSIP) joint venture. Additionally, the company will allocate nearly 4.3 trillion VND to pay off debts, primarily short-term borrowings.

Becamex IDC is a leading industrial and commercial real estate development company in Vietnam. According to the 2023 annual report, the company's remaining industrial park area by the end of 2023 is 3.5 million square meters, consisting of the Mỹ Phước 1, 2-3, Bàu Bàng, Bàu Bàng expansion, and Thới Hòa industrial parks (Bình Dương).

The company has also invested with Singapore's Sembcorp Group and U.S.-based Warburg Pincus to establish two large industrial park joint ventures in Vietnam: VSIP and BW Industrial. VSIP currently manages 20 industrial park projects across 14 provinces and cities nationwide. Meanwhile, BW Industrial has approximately 1,000 hectares of industrial land spread across 58 projects in 12 provinces and cities, managing an asset portfolio of nearly 3 billion USD.

Trong Hieu