On July 11, VGC decided to dismiss Nguyen Anh Tuan (born in 1966) from his position as Deputy General Director and terminate his labor contract at his own request, effective August 1, 2024. Prior to this, from July 1, Mr. Tuan was relieved from his position as Head of Administration and Chief of the Secretariat – Head of the Investor Relations Group of VGC.
Also from July 1, VGC approved the dismissal of Mr. Hoang Kim Bong from his position as Deputy General Director so that he could enjoy retirement benefits as regulated.
Given these dismissals, the Company appointed Ms. Tran Thi Minh Loan, a member of the Board of Directors and Director of the Finance and Accounting Department, to replace Mr. Tuan as Head of Administration and Authorized Person for Information Disclosure of the Company from July 1. Subsequently, Ms. Loan was also appointed as Deputy General Director of the Company from July 5.
Ms. Tran Thi Minh Loan at the 2024 Annual General Meeting of VGC. Photo: VGC
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Ms. Loan represents the capital of the Ministry of Construction at VGC with nearly 60.9 million shares, equivalent to 13.58% ownership. Ms. Loan personally does not directly own any shares in VGC, but her husband, Mr. Nguyen Minh Hien, holds 20,000 VGC shares, equivalent to 0.004%.
Ms. Loan’s multiple roles at VGC come at a time when the Ministry of Construction aims to restructure its invested enterprises (including reorganization, equitization, capital withdrawal, and transfer of state ownership representative rights) in the latter half of 2024.
The Ministry’s focus is on expediting the implementation of the restructuring plan, the five-year business plan, and the 2024 business plan of the enterprises under its management; completing the procedures for the equitization of the Housing and Urban Development Corporation (HUD); and accelerating the progress of state capital withdrawal at VGC.
At the recent 2024 Annual General Meeting, the VGC leadership also emphasized that one of the key tasks for this year is to continue preparing for and proceeding with the procedures for the state capital withdrawal from the Corporation, in line with the directives of the Ministry of Construction.
In terms of business performance, VGC has approved the 2024 consolidated business plan, targeting a total revenue of nearly VND 13.4 trillion, up 1% compared to 2023, but with an expected pre-tax profit of only VND 1.11 trillion, a decrease of nearly 31%.
According to VGC, this plan takes into account unfavorable factors affecting the market in the materials sector, such as increasing input material costs, especially for imported raw materials and petroleum products.
Given the challenges in the materials sector, VGC identifies real estate as its primary focus for 2024. Accordingly, the Company will concentrate on developing industrial park projects in Yen My, Phong Dien, Thuan Thanh, Tien Hai, Yen Phong 2C, Dong Mai, Yen Phong expansion, and Dong Van IV, with a target of transacting approximately 173 hectares in 2024.
The Company will also establish new legal entities and branches to implement projects such as Phu Ninh Industrial Park (400 hectares), Bac Son Industrial Park (200 hectares) in Phu Tho; Dong Mai expanded Industrial Park (150 hectares) in Quang Ninh; Tran Yen Industrial Park (255 hectares) in Yen Bai; Tay Pho Yen Industrial Park (868 hectares), Song Cong II Industrial Park (296 hectares) in Thai Nguyen; Number 1 Industrial Park (260 hectares) in Hung Yen; Doc Da Trang Industrial Park (288 hectares) in Khanh Hoa; and industrial parks in Bac Ninh, Quang Ninh, Tuyen Quang, Lao Cai, Lang Son, Hung Yen, the southern region, and other locations.
In the field of social housing and worker housing, VGC will continue to develop 50,000 social housing units (under the new program to develop 1 million social housing units for the 2023-2030 period) as assigned by the Ministry of Construction at a government conference in 2023. The Company will proceed with investment preparations for social housing projects in Tien Hai Industrial Park (5.2 hectares) and Phu Ha Industrial Park (8.4 hectares); and continue participating in the investor selection process for the social housing project in Tien Duong, Dong Anh district.
Regarding the materials sector, the VGC leadership will continue to carefully assess the investment conditions for the Phase 2 Super White Float Glass Factory project with a capacity of 900 tons/day. However, the timing of Phase 2 implementation will depend on the actual market demand.
In terms of profit distribution, VGC plans to pay a 2024 cash dividend with a ratio of 20%.
