Hai Phat Invest (HPX) Plans Private Placement, Stake Sale to Restructure Debt

Overview

Hai Phat Invest (HPX) has announced plans to sell its entire stake in subsidiary Diamond IC and approved a private placement of 150 million shares to raise 1,500 billion VND. The capital raise is aimed at repaying debt, funding the Mai Pha new urban area project in Lang Son, and supporting M&A activities. The company also canceled its 2023 stock dividend and will not pay dividends for 2025 to focus on financial restructuring.

Key Facts

• HPX plans to transfer 100% of its capital contribution in Diamond IC, valued at 5 billion VND, with a minimum transfer price of 5 billion VND.
• The company approved a private placement of 150 million shares at 10,000 VND/share to raise 1,500 billion VND.
• Proceeds from the placement: 500 billion VND for debt repayment, 500 billion VND for the Mai Pha new urban area project, and 500 billion VND for M&A and other projects.
• HPX targets 2026 consolidated revenue of 1,999 billion VND (+60% YoY) and net profit of 250 billion VND (+100% YoY).
• The company canceled the 2023 stock dividend (5%) and will not pay dividends for 2025.
• The placement price of 10,000 VND/share is double the current market price of HPX shares (below 5,000 VND).
• HPX still has a remaining bond lot of 500 billion VND to settle.

What Happened

Hai Phat Invest (HPX) announced via a board resolution the intention to sell its entire 100% stake in Diamond IC, a single-member limited liability company, for a minimum of 5 billion VND. The chairman of HPX has been authorized to finalize the transaction details.

Separately, at the annual general meeting of shareholders held on April 29, 2026, shareholders approved the 2026 business plan and a private placement of 150 million shares at 10,000 VND/share. The company will use the raised funds to repay maturing debts, develop the Mai Pha new urban area project in Lang Son province, and pursue M&A opportunities in Phu Tho, Bac Ninh, and Hanoi. The company also decided to cancel the 2023 stock dividend and skip dividends for 2025 to prioritize debt repayment and financial restructuring.

Market Context

HPX shares trade on HOSE at below 5,000 VND, significantly below the proposed placement price of 10,000 VND/share. The company’s financial restructuring efforts come amid a challenging real estate market in Vietnam, where many developers are deleveraging. The planned capital raise, if successful, would more than double the company’s equity base and provide liquidity for project execution.

Strategic Significance

The dual moves—divesting a non-core subsidiary and raising equity capital—signal HPX’s focus on deleveraging and strengthening its balance sheet. The cancellation of dividends underscores management’s commitment to debt reduction, particularly the remaining 500 billion VND bond. The private placement at a premium to market price suggests confidence in the company’s turnaround, though execution risk remains high given the discount to market. Successful completion would position HPX to advance its Mai Pha project and pursue M&A, potentially improving its competitive position in the northern real estate market.

What to Watch

• Completion of the Diamond IC stake sale and the final transaction price.
• Regulatory approval and investor demand for the private placement, especially given the premium pricing.
• Progress on the Mai Pha new urban area project and any new M&A announcements.
• HPX’s ability to meet its 2026 revenue and profit targets amid ongoing restructuring.
• Updates on the repayment of the remaining 500 billion VND bond.