In the recently announced plan, Nam Kim Group intends to offer 131.6 million shares to existing shareholders at a price of VND 12,000 per share, significantly lower than the market price of VND 19,200 per share at the close of the morning session on December 6, 2024. With a 2:1 allocation ratio, shareholders owning two shares will be entitled to purchase one new share. The record date for this offering is set as December 19, 2024.
The transfer period for the share purchase rights is scheduled from December 31, 2024, to January 15, 2025. Shareholders can register and pay for the new shares from December 31, 2024, to January 24, 2025.
Preparing for the Phu My Project
The expected proceeds from this offering, approximately VND 1,580 billion, will be invested in the Phu My Plant project. This is a key project for Nam Kim Group, with a total investment of up to VND 4,500 billion in the first phase.
The new plant will be equipped with modern production lines, including a zinc plating line with a capacity of 350,000 tons per year, two aluminum-zinc alloy plating lines with capacities of 300,000 tons and 150,000 tons per year, respectively, and a color plating line with a capacity of 150,000 tons per year.
Mr. Ho Minh Quang, Chairman of Nam Kim Group, stated at the Annual General Meeting in April 2024 that the plant has received the construction permit and is expected to be operational by the end of 2025 or early 2026. “When operating at full capacity in 2027, the plant will increase Nam Kim’s total capacity from 1 million tons to 1.6 million tons per year,” said Mr. Quang.
Regarding the project’s prospects, General Director Vo Hoang Vu believes that this strategic move will position Nam Kim to capitalize on the anticipated recovery of the global steel market in the 2025-2026 period.
In parallel, the Company also plans to issue additional shares to increase capital from the owner’s equity source at a ratio of 100:20, meaning that for every 100 shares held, shareholders will receive 20 new shares. The record date for this offering is also set as December 19, 2024.
