DIG Chairman Nguyen Hung Cuong Loses Major Shareholder Status After Margin Call Sales

Overview

DIG Corp (DIG) chairman Nguyen Hung Cuong has lost his status as a major shareholder after multiple margin call sales reduced his stake to 3.69%. The forced selling of over 11 million shares occurred over several days in July 2026, as the stock price fell below key thresholds. The stock has declined approximately 40% year-to-date, trading at 10,300 VND.

Key Facts

• Chairman Nguyen Hung Cuong’s stake fell to 3.69% (29.3 million shares), below the 5% major shareholder threshold.
• Over 11 million shares were sold via margin calls between May 25 and July 9, 2026, with additional sales on July 23.
• Multiple securities firms executed the forced sales: MBS (nearly 2.5 million shares), Mirae Asset Vietnam (1.3 million), LPBS (nearly 1 million), and Vietcap (over 326,000).
• DIG stock closed at 10,300 VND on July 26, 2026, a three-year low and down 40% year-to-date.
• The board approved a resolution to cancel the capital contribution to Saigonres Van Xuan, reversing a decision made on March 25.
• DIG’s estimated first-half 2026 profit still increased, despite the stock price decline.

What Happened

According to a filing by DIC Corp (DIG) on the Ho Chi Minh Stock Exchange (HoSE), Chairman Nguyen Hung Cuong was no longer a major shareholder after securities firms sold over 11 million of his shares through margin calls over three days. The sales reduced his holdings to 29.3 million shares, or 3.69% of the company.

The forced selling occurred as DIG’s stock price fell below 11,000 VND, triggering margin calls. The chairman’s family had been under persistent margin call pressure for months, with over 9.68 million shares sold between May 25 and July 9, 2026. Additional sales of 1.17 million shares were executed on July 23 by LPBank Securities. At the annual general meeting in April 2026, Cuong attributed the margin calls to market volatility and pledged to increase his stake.

Market Context

DIG shares have been under severe pressure, losing 40% of their value year-to-date to close at 10,300 VND on July 26, 2026, the lowest in three years. The stock trades on HoSE in the real estate sector, which has faced headwinds from tightening credit and weak demand. The margin call cascade affecting the chairman and his family has amplified selling pressure, contributing to the stock’s decline. Despite the price drop, DIG reported an estimated increase in first-half 2026 profit, though the company did not provide specific figures.

Strategic Significance

The loss of major shareholder status for the chairman signals a significant shift in ownership structure and raises questions about insider confidence. The forced sales reduce the chairman’s ability to influence strategic decisions and may deter other investors. The board’s decision to cancel the Saigonres Van Xuan capital contribution suggests a pullback from expansion plans, possibly due to financial constraints. For long-term investors, the margin call episode highlights the risks of high leverage among key shareholders and the potential for further dilution if the stock price remains weak.

What to Watch

• Any further margin call sales by the chairman or related parties, which could pressure the stock further.
• The company’s Q2 2026 earnings release for detailed profit figures and management commentary.
• Whether the chairman or family members repurchase shares to regain major shareholder status.
• Updates on the company’s project pipeline and capital-raising plans, given the canceled Saigonres Van Xuan investment.
• Changes in foreign ownership limits or major institutional investor activity in DIG.