Investment and Industrial Development Corporation Becamex (Becamex) has proposed a significant reduction in state ownership, aiming to decrease the Ho Chi Minh City People's Committee's stake from 95,44% to approximately 65% by 2030. This initiative, detailed in a document sent to the Ho Chi Minh City Stock Exchange on 2/6, seeks to align the company with public company regulations.

By the end of May, Becamex reported 9,221 shareholders. The Ho Chi Minh City People's Committee remains the sole major shareholder, representing the State and holding 95,44% of the capital. Under current Securities Law, a public company requires a minimum of 10% of its shares to be held by at least 100 minority investors, a condition Becamex currently does not meet. However, the company maintains its public status through transitional provisions within the Law on Management and Investment of State Capital in Enterprises.

To address this, Becamex has proactively developed a plan and proposed it to the Ho Chi Minh City People's Committee. The plan seeks approval for the reduction of state capital from its current 95,44% to above 65% during the 2026-2030 period. This would be achieved through a public share offering designed to meet the required shareholder structure for a public company, the document stated.

Becamex, formerly Ben Cat General Trading Company, was established in 1976. Its initial focus was on purchasing and processing agricultural products and distributing consumer goods. Over time, the company expanded significantly, evolving into a leading developer of industrial real estate, residential real estate, and infrastructure across the southern region.

Last year, Becamex recorded revenues of 9,819 billion VND and after-tax profits of 3,525 billion VND, with the real estate segment contributing most to these figures. For this year, the company has set targets for a 4% increase in revenue, reaching 10,230 billion VND, and a 10% rise in after-tax profit, amounting to 3,883 billion VND.

Historically, the Binh Duong Provincial People's Committee was Becamex's largest shareholder. Following administrative boundary mergers, the Ho Chi Minh City People's Committee assumed the role of representing state capital in the company. Becamex currently lists over one billion shares on the Ho Chi Minh City Stock Exchange, boasting a market capitalization exceeding 55,500 billion VND.

Early last year, Becamex had planned to offer 300 million shares through an auction, with a starting price of 69,600 VND per unit. A successful sale of all shares would have reduced state ownership to approximately 74%. However, the company later postponed the offering due to unfavorable stock market conditions at the time.

Phuong Dong