DGC Nominates Two TSB Board Candidates After Prosecutions

Overview

Hoa chat Duc Giang (DGC, HOSE) has approved the nomination of two candidates to the board of directors of its 51%-owned subsidiary Ac quy Tia Sang (TSB, HNX), filling seats held by two directors currently under prosecution. The parent also confirmed an 80% dividend payout worth roughly VND 3,038 billion, a combination that puts governance repair and cash return side by side at a company whose own shares remain under HoSE warning and restricted-trading status.

Key Facts

• DGC nominated Mr. Nguyen Tat Dai and Mr. Nguyen Van Thoa to the TSB board for the remainder of the 2023-2028 term.
• TSB is 51% owned by DGC as of 30 June 2026.
• TSB will hold its 2026 extraordinary general meeting on 2 October 2026 at the Duc Giang Chemicals hall in Ha Noi.
• The meeting will dismiss two board members, Chairman Luu Bach Dat and Mr. Phung Trong Tu, both prosecuted under a decision of the Investigation Police Agency, Ministry of Public Security.
• DGC set 15 September 2026 as the record date for an 80% dividend, comprising a 50% final payout for 2025 and a 30% advance for 2026, equal to VND 8,000 per share.
• With nearly 379.8 million shares outstanding, the payout is estimated at more than VND 3,038 billion, funded from retained earnings, with payment due 25 September 2026.
• HoSE kept DGC under warning status (Decision 544/QD-SGDHCM, 23 June 2026) over an audit exception in the reviewed H1 2026 statements, and under restricted trading (Decision 448/QD-SGDHCM, 20 May 2026) for filing audited 2025 financials more than 45 days late.

What Happened

DGC’s board passed a resolution nominating Nguyen Tat Dai and Nguyen Van Thoa as candidates for additional TSB board members, according to the company’s announcement. TSB will convene an extraordinary general meeting on 2 October 2026 in Ha Noi, where shareholders are expected to remove Chairman Luu Bach Dat and Phung Trong Tu, both of whom face prosecution under a decision by the Investigation Police Agency of the Ministry of Public Security, and elect the two DGC nominees for the rest of the 2023-2028 term.

Separately, DGC said it will close its shareholder list on 15 September 2026 to pay the remaining 2025 dividend at 50% and advance 30% of the 2026 dividend, for a combined 80% ratio, or VND 8,000 per share. The company will draw on undistributed profit, with payment scheduled for 25 September 2026. The filing does not disclose the specific allegations behind the prosecutions or any change to TSB’s operating management.

Market Context

DGC closed at VND 46,750 on 12 September 2026 on HOSE, while TSB closed at VND 19,300 on HNX. The shares trade under two HoSE designations: a retained warning tied to an auditor exception in the reviewed H1 2026 financial statements, and restricted trading for filing audited 2025 statements more than 45 days past the deadline. Both measures stem from disclosure and audit issues rather than the subsidiary’s governance event, but they keep DGC in a regulatory spotlight at a time when Vietnamese chemical and industrial names are being assessed on transparency and compliance track records.

Strategic Significance

For long-term holders, the TSB board reshuffle is a test of whether DGC can impose governance discipline on a majority-owned subsidiary whose leadership faces criminal proceedings. Replacing prosecuted directors with parent-nominated candidates preserves DGC’s 51% control and reduces the risk of operational drift at TSB, but it does not by itself resolve the audit exception or the late filing that triggered the HoSE measures. The 80% dividend, funded from retained earnings, signals that cash generation remains intact even as the listed parent works through compliance issues; the key question is whether governance remediation at TSB and disclosure cleanup at DGC proceed in parallel.

What to Watch

• TSB extraordinary general meeting on 2 October 2026 and the outcome of the board votes.
• DGC dividend record date of 15 September 2026 and payment on 25 September 2026.
• Any HoSE decision on lifting DGC’s warning or restricted-trading status.
• DGC’s remediation of the H1 2026 audit exception and filing of audited 2025 financial statements.
• Further disclosures from the Ministry of Public Security investigation into the two former TSB directors.