HEC Irrigation Consulting Plans 100% Bonus Share Issue, Doubling Charter Capital
This Aveluro analysis covers HEC. The classified event type is dividend announcement, with positive sentiment and a deterministic market-impact score of 4.0/10. Aveluro classifies this story as a positive catalyst in the stock's news coverage. Source coverage came from CafeF - Doanh nghiệp, classified as a primary/top-tier source.
Key Facts
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Overview
HEC, a 70-year-old irrigation consulting firm listed on HOSE, will issue bonus shares at a 100% ratio, doubling its charter capital. The company also set 2026 revenue targets of 211.7 billion VND and pre-tax profit of 47.9 billion VND, with a 20% dividend plan.
Key Facts
- HEC will issue bonus shares at a 100% ratio, meaning shareholders receive 1 new share for each share held.
- The company currently has nearly 6 million shares outstanding; the issuance will add about 6 million shares, doubling charter capital to approximately 120 billion VND.
- The record date for the bonus share issuance is June 9, 2026.
- HEC was founded in 1956 as the Hanoi Institute of Irrigation and Hydropower Survey and Design, and was equitized in 2004.
- In 2025, HEC reported revenue of over 251 billion VND (+14% YoY) and after-tax profit of about 65 billion VND (+7.6% YoY).
- For 2026, the company targets consolidated revenue of 211.7 billion VND and pre-tax profit of 47.9 billion VND.
- The company also plans to maintain a 20% dividend for 2026.
What Happened
CTCP Tu van Xay dung Thuy loi II (stock code: HEC) announced that it will close the shareholder list on June 9, 2026, to implement a bonus share issuance from equity. The issuance ratio is 100%, meaning each shareholder will receive one new share for each share held. The company currently has nearly 6 million shares outstanding and will issue approximately 6 million new shares, increasing charter capital to about 120 billion VND.
HEC traces its roots to the Hanoi Institute of Irrigation and Hydropower Survey and Design, established in 1956. After several name changes and reorganizations, the company was equitized in 2004 under a decision by the Ministry of Agriculture and Rural Development. The firm has nearly 70 years of experience in consulting, surveying, and designing irrigation and hydropower projects.
Market Context
HEC shares closed at 67,500 VND on May 29, 2026, up 1.50% with low volume of 2,400 shares. The stock trades on HOSE. The bonus share issuance is a significant corporate action that will increase liquidity and potentially attract investor attention. The company’s 2025 results showed solid growth, with revenue up 14% and net profit up 7.6%.
Strategic Significance
The 100% bonus share issuance reflects HEC’s strong retained earnings and confidence in future prospects. The move increases share count and liquidity, which may broaden the shareholder base. The 2026 targets, while slightly below 2025 actuals, include a maintained 20% dividend, signaling stable cash flow. HEC’s long history in irrigation consulting positions it to benefit from Vietnam’s infrastructure spending, particularly in water management and hydropower.
What to Watch
- Execution of the bonus share issuance and listing of new shares on HOSE.
- Q1 2026 earnings release to gauge revenue and profit trends.
- New contract signings, with a target of 110 billion VND for 2026.
- Dividend payment schedule and any changes to payout policy.
- Potential impact of government infrastructure spending on HEC’s order book.