Biwase (BWE) Sells 6.6M Unsubscribed Shares to 12 Individuals at VND 37,000

Overview

Biwase (HOSE: BWE), the Bình Dương Water and Environment Corporation, has approved the continued sale of 6.6 million shares that went unsubscribed in its rights issue to existing shareholders. The shares will be placed with 12 individual investors at VND 37,000 per share, a process expected to raise close to VND 1,162.5 billion and raise charter capital to roughly VND 2,513.5 billion.

Key Facts

• Biwase initially offered more than 31.4 million shares to existing shareholders at a 7:1 ratio, with rights transfer running from 6 August 2026 to 28 August 2026 and subscription and payment from 6 August 2026 to 7 September 2026.
• Only 24.8 million shares were subscribed and paid for, leaving 6.6 million shares for the follow-on placement.
• The 12 individual buyers will pay VND 37,000 per share, with payment due from 15 September 2026 until before 17:00 on 21 September 2026.
• Nguyễn Ngọc Toàn subscribed for 6 million shares, the largest single allocation, despite holding no BWE shares before the offer.
• Chairman Nguyễn Văn Thiền registered for 187,000 shares, while Deputy General Directors Ngô Văn Lui and Mai Song Hào each registered for 30,000 shares.
• If fully placed, the sale would raise nearly VND 1,162.5 billion and lift charter capital from about VND 2,199.3 billion to about VND 2,513.5 billion.
• The 2026 annual general meeting approved the use of proceeds; the filing does not itemise the allocation in the source summary.

What Happened

Biwase disclosed that its rights issue to existing shareholders fell short of target. The company had offered more than 31.4 million new shares on a 7:1 basis, meaning shareholders received one purchase right per share held and needed seven rights to buy one new share. The rights transfer window ran from 6 August 2026 to 28 August 2026, with subscription and payment open from 6 August 2026 to 7 September 2026. At the close of that period, only 24.8 million shares had been registered and paid for.

The board therefore approved placing the remaining 6.6 million shares with 12 individuals at the same VND 37,000 price. Nguyễn Ngọc Toàn is the largest subscriber at 6 million shares and held no BWE stock before the offer; he is listed as a representative at several companies, including CTCP Jiro, CTCP SGL, Maztermind, CBS Việt Nam, Ngôi nhà Thủ công and CTCP Đầu tư Cella. Management also participated: Chairman Nguyễn Văn Thiền registered for 187,000 shares and Deputy General Directors Ngô Văn Lui and Mai Song Hào for 30,000 each. Payment is due from 15 September 2026 to before 17:00 on 21 September 2026.

Market Context

BWE trades on the HOSE and closed at VND 42,000 on 15 September 2026, above the VND 37,000 placement price. The discount to the market price gives the individual buyers an immediate paper gain and helps explain the willingness to absorb stock that existing shareholders declined. The shortfall in the rights issue is a notable signal for a water utility that has historically been viewed as a stable, dividend-paying name; the reliance on a small group of individuals, rather than the broad shareholder base, shifts the near-term supply dynamic.

Strategic Significance

The placement completes a capital-raising plan that the 2026 annual general meeting approved, and it does so without the full participation of existing shareholders. For long-term holders, the key question is whether the VND 1,162.5 billion raised is deployed into water and environmental infrastructure at returns above the cost of the new equity. The concentration of 6 million shares in a single new investor, Nguyễn Ngọc Toàn, also changes the register: a holder with no prior position now controls a meaningful block, which could influence future governance and voting outcomes. The increase in charter capital to about VND 2,513.5 billion broadens the equity base but dilutes per-share metrics unless earnings scale accordingly.

What to Watch

• Confirmation that the 6.6 million shares are fully paid by the 21 September 2026 deadline, and any revision if subscriptions lapse.
• Disclosure of the final shareholder register and whether Nguyễn Ngọc Toàn’s 6 million shares are held personally or on behalf of related entities.
• Details of how the VND 1,162.5 billion proceeds are allocated across the projects approved at the 2026 annual general meeting.
• Q3 2026 earnings and any update on water output, tariffs and environmental services revenue.
• Further rights issues or placements, given that existing shareholders subscribed to only 24.8 million of 31.4 million shares.