Dien May Xanh (DMX) Plans 50% Cash Dividend and VND100B Bond Issue

Overview

Dien May Xanh (DMX) has proposed a minimum cash dividend of 50% of 2026 net profit and a VND100 billion bond issue with warrants, according to documents for an extraordinary shareholder meeting on October 29, 2026. The plan includes a VND2,000 per share interim dividend in December 2026 and a five-year bond at 8% annual interest. The news matters for DMX investors because it signals a formal dividend policy and a refinancing move that could affect the share count if warrants are exercised.

Key Facts

• Minimum cash dividend of 50% of 2026 consolidated net profit attributable to parent company shareholders.
• Interim cash dividend of VND2,000 per share in December 2026, based on H1 2026 results; total payout estimated at VND2,535 billion for nearly 1.27 billion shares outstanding.
• Bond issuance of up to 1,000 bonds with a total value of VND100 billion; each bond has a face value of VND100 million, a 5-year term, and a fixed interest rate of 8% per annum.
• The bonds are non-convertible, unsecured, and fully guaranteed by Vietcombank - Tan Binh Branch for principal and interest.
• Proceeds will refinance a VND113.9 billion loan from MUFG Bank - Ho Chi Minh City Branch, disbursed on August 4, 2026, with a 184-day tenor.
• Each bond includes 100 warrants; total warrants issued would be 100,000 units, each allowing the purchase of 1,267 DMX shares, potentially adding up to 126.7 million shares.
• Initial exercise price is VND74,000 per share, adjusted from the IPO price of VND80,000 after deducting VND4,000 dividend for 2025 and VND2,000 expected for 2026.

What Happened

CTCP Đầu tư Điện Máy Xanh (DMX), listed on the Ho Chi Minh Stock Exchange (HOSE), released documents for an extraordinary general meeting of shareholders scheduled for the afternoon of October 29, 2026, to be held both in person and online. The company is seeking approval for a cash dividend policy that would pay at least 50% of 2026 net profit attributable to parent company shareholders on a consolidated basis. An interim dividend of VND2,000 per share is planned for December 2026, based on first-half business results, with the total payout estimated at VND2,535 billion. The final dividend for 2026 will be proposed by the board and submitted to the 2027 annual general meeting for approval based on full-year results.

Separately, DMX proposes to issue up to 1,000 individual bonds with warrants, totaling VND100 billion. Each bond has a face value of VND100 million, a five-year term, and a fixed annual interest rate of 8%, with interest paid annually and principal repaid at maturity or upon early redemption. The bonds are non-convertible and unsecured but are fully guaranteed by Vietcombank - Tan Binh Branch. The offering period is expected from Q4 2026 to Q2 2027. Proceeds will be used to restructure part of a VND113.9 billion loan from MUFG Bank - Ho Chi Minh City Branch, signed in August 2025 and disbursed on August 4, 2026, with a 184-day tenor to supplement working capital. Each bond carries 100 warrants, totaling 100,000 warrants, each exercisable for 1,267 DMX shares at an initial price of VND74,000 per share, subject to anti-dilution adjustments. The company will assess exercise conditions annually based on net profit growth and DMX share price performance relative to the VN30 index. A list of 15 investors for the bond and warrant purchase was disclosed, including General Director Doan Van Hieu Em and several directors.

Market Context

DMX shares closed at VND76 on October 9, 2026, down 0.39% with volume of 43,600 shares. The stock trades on the UPCOM exchange, not HOSE as initially stated in the article, reflecting a discrepancy in the source. The retail sector in Vietnam has faced mixed sentiment amid consumer spending shifts, but DMX’s dividend and refinancing plans come as the broader market watches for corporate actions that could enhance shareholder returns. The VN30 index, referenced in the warrant conditions, serves as a benchmark for performance evaluation.

Strategic Significance

For long-term investors, the proposed dividend policy underscores DMX’s commitment to returning capital, potentially attracting income-focused shareholders. The bond issuance with warrants offers a dual mechanism: refinancing existing debt at a fixed 8% rate while providing a pathway for equity capital if warrants are exercised, which could dilute existing holdings by up to 126.7 million shares. The exercise price of VND74,000, adjusted from the IPO price, ties warrant value to future profit growth and stock performance versus the VN30, aligning management incentives with shareholder interests. This structure may support DMX’s working capital needs and strategic investments in the competitive electronics retail market.

What to Watch

• Shareholder vote at the extraordinary general meeting on October 29, 2026, for approval of the dividend and bond plans.
• Disclosure of H1 2026 financial results, which will determine the interim dividend payout.
• Progress of the bond offering from Q4 2026 to Q2 2027, including investor take-up and any adjustments to terms.
• Annual assessment of warrant exercise conditions based on net profit growth and DMX share price relative to VN30.
• Repayment or restructuring of the MUFG Bank loan and its impact on DMX’s debt profile.