HBC Transfers Innovation Center to FPT for VND 246.5B

Overview

Hoa Binh Construction Group (HBC) has transferred its Hoa Binh Innovation Center project to FPT Innovation and Creativity Company Limited, a subsidiary of FPT, for VND 246.5 billion. The transaction, signed on June 9, 2025, is disclosed in HBC’s audited semi-annual 2026 financial report. This divestment provides significant cash inflow and gross profit for HBC, which continues to face accumulated losses and liquidity challenges.

Key Facts

• Transfer value: VND 246.5 billion (~USD 9.86 million).
• Received by June 30, 2026: VND 144.9 billion; remaining receivable from FPT subsidiary: VND 101.6 billion.
• Project land area: 24,512.6 m²; total investment: VND 900 billion (~USD 39.13 million).
• Project operation period: 50 years from initial investment certificate (first issued February 3, 2016; latest adjustment August 19, 2022).
• HBC’s H1 2026 net revenue: VND 3,260 billion, up 99% year-on-year (from VND 1,636 billion).
• Net profit after tax: VND 50 billion, down 3% from VND 51.4 billion in H1 2025.
• Gross profit from project transfer: ~VND 159 billion, about 47% of total gross profit.
• Accumulated losses at June 30, 2026: VND 2,022 billion.

What Happened

According to the audited semi-annual 2026 financial report of Hoa Binh Construction Group (HBC), the company transferred the “Hoa Binh Innovation Center” project to FPT Innovation and Creativity Company Limited, a subsidiary of FPT, under a contract dated June 9, 2025. The transfer value is VND 246.5 billion, of which VND 144.9 billion had been collected by June 30, 2026. The remaining VND 101.6 billion is recorded as short-term receivables from the buyer.

The project, located in the Saigon Hi-Tech Park, was initially licensed on February 3, 2016, with the latest adjustment on August 19, 2022. It aims to establish a high-tech incubation facility and R&D center for new materials, IT, and biotechnology. The land area is 24,512.6 m², with total investment of VND 900 billion.

In H1 2026, HBC reported net revenue of VND 3,260 billion, a 99% increase from VND 1,636 billion in the same period of 2025. Revenue from construction contracts reached VND 2,305 billion, up 86%. The company also recorded VND 279.1 billion from real estate transfers and VND 246.5 billion from project transfer, both new revenue streams. Despite the revenue surge, net profit after tax declined 3% to VND 50 billion, as cost of goods sold rose to VND 2,925 billion.

Market Context

HBC is listed on UPCOM and closed at VND 3,900 on September 6, 2026. The stock has been under pressure due to the company’s weak financial position, including accumulated losses of over VND 2,022 billion and overdue debts. The divestment provides a much-needed cash injection and demonstrates asset monetization capability. FPT, listed on HOSE, closed at VND 72,800 on the same date, reflecting its strong market position. The transaction aligns with FPT’s strategy to expand its innovation ecosystem.

Strategic Significance

For HBC, the transfer is a strategic move to improve liquidity and focus on core construction activities. The gross profit of ~VND 159 billion from the transfer significantly boosts H1 2026 profitability, though net profit still fell due to other cost pressures. This deal may signal HBC’s ability to unlock value from its land bank and non-core assets, which is critical for its financial recovery. For FPT, acquiring the innovation center supports its long-term R&D and incubation ambitions, enhancing its presence in high-tech zones.

What to Watch

• Collection of the remaining VND 101.6 billion receivable from FPT subsidiary by end-2026.
• HBC’s full-year 2026 earnings and whether the revenue surge translates into sustained profitability.
• HBC’s ability to reduce accumulated losses and address overdue debts in subsequent quarters.
• Any further asset divestments or strategic partnerships by HBC to improve cash flow.
• FPT’s development plans for the acquired innovation center and its impact on FPT’s technology ecosystem.