Phat Dat Real Estate Development Joint Stock Company (PDR) plans to pay dividends in stocks with a minimum ratio of 15 per cent this year.
The company set a target of VND2.8 trillion (US$118.6 million) in revenue, VND850 billion in pre-tax profit and VND680 billion in profit after tax.
This information was given at the Annual General Meeting of Shareholders 2023 held in HCM City.
PDR Chairman Nguyen Van Dat said the company will pay great attention to increasing the land fund to ensure a sustainable development strategy. The company currently owns a land bank of over 7,434 hectares in Da Nang, Quang Ngai, Binh Dinh, Khanh Hoa, Ba Ria-Vung Tau, Binh Duong, and Phu Quoc.
Among them, the Cadia Quy Nhon project alone has a total investment of about VND1.27 trillion for the condotel category, while the hotel category is being planned. The project started last year and is expected to be completed in the fourth quarter of 2025.
Regarding the plan to issue shares to existing shareholders and offer shares to professional investors, PDR plans to offer 20 per cent of shares to existing shareholders at the price of VND10,000 per share and offer 10 per cent of shares for professional investors at the price of VND10,000 per share to restructure loans.
Total capital collected through this issuance is expected to be VND2.01 trillion of which the proceeds from the issuance of shares to professional investors, estimated at VND671.6 billion, are used to repay bonds.
Proceeds from the issuance to existing shareholders, estimated at VND1.34 trillion, will be used for development of projects: Nhon Hoi - Binh Dinh eco-tourism area (VND132 billion); Bac Ha Thanh - Binh Dinh residential area (more than VND511 billion); Ngo May - Binh Dinh high-class hotel service and trade centre (VND400 billion); Astral City - Binh Duong (VND300 billion).
It is known that Phat Dat’s total debt is currently VND4.44 trillion (compared to about VND5.26 trillion at the end of the third quarter of 2022), of which about VND2.51 trillion is in bonds. Compared to the company’s current operating scale and assets, this debt is within a safe range in 2023.
Due to the negative fluctuations of the real estate market in late 2022, the company did not achieve the yearly profit plan, said PDR Chairman Dat.
“However, PDR in the past year paid for many bond debts ahead of time, maintaining its reputation with bondholders as well as shareholders. The typical indicators for corporate health were maintained at a good level. I am confident that the most difficult period of PDR has passed,” he said. — VNS