Novaland Group is in the final stages of a comprehensive restructuring effort, addressing legal, bond, and cash flow crises as it seeks to regain its position as a major player in Vietnam’s real estate market.
Vietnam's real estate sector is grappling with significant challenges as it struggles to raise funds through bonds and faces looming maturity pressures in the latter half of 2024.
Real estate sector bonds account for a major trunk of corporate bonds due for redemption this year.
All defendants in the Tan Hoang Minh bond fraud trial were sentenced below the prosecution's indictment range, owing to newly emerged mitigating factors.
Faster growth in both the government and corporate bond segments pushed Vietnam’s local currency bond market to reach $91.5 billion in the end of last year, up by 9.8 per cent from the third quarter of 2021.
As Vietnam accelerates economic recovery amid Covid-19, IFC, LeapFrog Investments, and DEG have invested $165 million in convertible Tier 2 bonds issued by HDBank, a leading Vietnamese private retail and SME bank.
This is BIM Land's first offshore bond issue after it borrowed about $140 million from IFC and Credit Suisse in 2019.
While Covid-19 drags on local currency bond markets in emerging East Asia, the market still got a positive increase.
Masan Group (HSX: MSN) is going to issue VND1.5 trillion ($65.21 million) worth of bonds this month in a bid to restructure its debts.
Vietnam’s largest listed enterprise in terms of market capitalisation is seeking for its shareholders’ approval on the issuance of $750 million worth of bonds to global investors in 2019.
Vietnam’s LCY bond market is smallest in size compared to other emerging East Asia markets such as Indonesia ($217 billion), Singapore ($310 billion), Malaysia ($353 billion) and Thailand ($399 billion).
The first quarter saw the outstanding amount of local currency (LCY) corporate bonds reached some $4.34 billion, with growth declining 1.3 per cent quarter-on-quarter but rising 31.9 per cent year-on-year, according to ADB.
Vietnam’s private enterprise bond market increased 30 per cent year on year.
Enterprises are cashing in on positive outlook of the stock market to mobilize capital from shareholders as bond interest rates tend to increase.
