Kinh Bac City Development Holding Corporation (HoSE: KBC), chaired by Dang Thanh Tam, is renewing efforts to raise 6 trillion VND (approximately 236 million USD) through a private stock offering to restructure debt and supplement working capital, following a partially subscribed issuance.

On June 23, KBC announced a Board of Directors resolution on handling the remaining 147.1 million unsold shares from its private offering of 250 million common shares, priced at 23,900 VND per share-lower than the 26,100 VND closing price on June 24.

Only six investors subscribed to 102.9 million shares, raising approximately 2.459 trillion VND. The remaining shares will now be offered to professional investors (domestic institutions and individuals), with a one-year lock-up period.

The 250 million share issuance aims to raise about 6 trillion VND for financial restructuring and working capital. Specifically, 4.428 trillion VND will repay principal and interest owed by Saigon - Bac Giang Industrial Park JSC, 1.462 trillion VND for Saigon - Hai Phong Industrial Park JSC, over 105 billion VND for a VietinBank loan, and 160 billion VND for working capital.

If fully completed, the total number of outstanding KBC shares will increase from 767.6 million to over 1.01 billion, raising the company's charter capital to 10.176 trillion VND.

The original investor list included 11 prominent organizations and individuals, such as Dragon Capital’s DC Developing Markets Strategies Public Limited, Prudential Vietnam, SGI Fund, VPBank Securities, Samsung Vietnam Securities, Vietnam Enterprise, and Amersham Industries Limited. Only VPBankS fulfilled its full 20 million share commitment; others partially subscribed or abstained.

In parallel, KBC has drawn significant attention for its Trump International Hung Yen project-a $1.5 billion complex integrating a resort, ecological tourism zone, and premium golf course, in collaboration with The Trump Organization.

The development, managed by Hung Yen Investment and Development Group JSC (a KBC subsidiary), will feature Vietnam's highest-standard golf course and a luxury resort exceeding five-star ratings. The September 2024 signing ceremony in Florida was attended by Donald Trump and included KBC Chairman Dang Thanh Tam and Trump Organization Executive Vice President Eric Trump.

According to KBC and Forbes, IDG Capital will lead financial arrangements and participate in the project’s capital. Once completed in four years, the resort will be operated by Trump Organization under its global standards.

KBC’s financial health and FDI strategy

KBC's Q1 2025 report shows continued growth, with total assets rising to over 54.2 trillion VND from 44.7 trillion VND at the end of 2024. Cash and cash equivalents stood at nearly 6.581 trillion VND.

However, receivables increased from 13.3 trillion to 16.3 trillion VND, and inventory surged from 13.8 trillion to nearly 20.28 trillion VND-reflecting major investments in real estate and industrial zones.

KBC’s long-term debt stood at 17.1 trillion VND, with short-term loans at 442 billion VND, well below its nearly 21.5 trillion VND in equity. Its debt-to-equity ratio remains low compared to the industry average of 3x among listed firms.

Under Dang Thanh Tam’s leadership, KBC has become a key FDI magnet, hosting global giants like Foxconn, Luxshare, Goertek (Apple partners), and LG across its industrial parks.

Now, with the Trump Organization joining that list, Vietnam’s appeal to foreign investors is clearer than ever. Dang Thanh Tam emphasized that Trump Organization partners only with entities free of financial irregularities, ensuring transparent, high-standard cooperation.

Manh Ha