Le Ngoc Khanh Viet officially becomes a major shareholder of Da Lat Real Estate Joint Stock Company (UPCoM: DLR) after successfully purchasing over 600,700 DLR shares on July 5, increasing his holdings to over 600,800 DLR shares, or 13.35% of the company.
On the same day, but in the opposite direction, Magnolia Investment Joint Stock Company sold its entire stake in DLR, exactly matching the number of shares bought by Mr. Viet. Thus, Magnolia Investment is no longer a shareholder of Da Lat Real Estate.
During the July 5 trading session, 1,166,624 shares were traded in a negotiated deal, with a total value of over VND 12.2 billion, equivalent to approximately VND 10,460 per share. Mr. Viet’s transaction is estimated at VND 6.3 billion.
The new major shareholder of Da Lat Real Estate is no stranger, as Mr. Viet was once a former insider at DLR in August 2016. At that time, he held over 673,000 shares, or nearly 15% of the capital. However, by early 2018, Mr. Viet had almost completely divested from Da Lat Real Estate, retaining only 36 DLR shares.
As a major shareholder, Mr. Viet would have had some insight into the company’s operating performance, which was not particularly favorable at the time.
Specifically, in 2016-2017, the company incurred a total loss of VND 32 billion and continued to lose nearly VND 10 billion in 2018. As a result, the company accumulated losses of nearly VND 48 billion, while its chartered capital was VND 45 billion. Due to these results, DLR shares were delisted from the exchange on May 24, 2019. This could also be a reason why Mr. Viet decided to divest before the company’s shares were delisted.
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Da Lat Real Estate was established through the equitization of the state-owned enterprise Lam Dong Housing and Development Corporation and officially operated as a joint-stock company from the beginning of 2008, with an initial chartered capital of VND 45 billion, equivalent to 4.5 million shares. Da Lat Real Estate was officially listed on the HNX on May 20, 2010, under the stock code DLR.
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However, on May 27, 2019, the Hanoi Stock Exchange (HNX) announced that 4.5 million DLR shares of Da Lat Real Estate would start trading on the UPCoM exchange on May 31, 2019, with a par value of VND 10,000 per share and a registered trading value of VND 45 billion.
Notably, even after moving to UPCoM, DLR‘s performance did not improve significantly, as the company continued to incur losses from 2019 to 2022 before making a slight profit of VND 376 million in 2023. In the first quarter of 2024, DLR returned to a net loss of over VND 1 billion, compared to a loss of VND 883 million in the same period last year.
| DLR’s Financial Results from 2016-2023 |
