According to the plan, TCO will issue 58.5 million shares to exchange for 13 million shares (100% capital) of 3 individuals at An Vi Company, including Mr. Do Van Lua, Mrs. Pham Vu Thu Suong, and Mrs. Nguyen Thi Hanh. The exchange rate is 1:4.5 (the mentioned individuals will receive 4.5 million TCO shares for each An Vi share).
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List of 3 shareholders of An Vi who will exchange TCO shares
Source: TCO
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The issued shares will be restricted from transfer for at least 1 year from the end of the issuance period. The implementation time is expected to be in 2024, after obtaining approval from the State Securities Commission.
The proposal has been approved at the extraordinary shareholders’ meeting of TCO in 2023. The issuance of exchange shares at An Vi Company is in line with TCO’s development direction in the future, as the Company expands into the agriculture and food industry, along with related sectors.
Regarding An Vi, the company was established in 2020 with a charter capital of 130 billion VND. Its main business is rice milling and production of raw flour. An Vi owns a rice milling plant with a total land area of about 11.7 hectares in Tan Chau town, An Giang province. The plant is conveniently located both by road and waterways, and is only about 15km away from the Cambodian border.
TCO considers An Vi’s plant as one of the largest in the Mekong Delta region at the current time. Therefore, TCO’s partnership with An Vi will help minimize logistics costs and increase competitiveness in terms of service time and prices.
After a successful issuance, TCO will become the sole owner holding 100% of An Vi’s charter capital. Accordingly, An Vi will be converted into a limited liability company (LLC) with TCO authorized to restructure the company.
