KIDO Group (KDC) Plans Share Buyback of 14.5M Shares at Up to 70,000 VND

Overview

KIDO Group (HOSE: KDC) has announced a share buyback plan for up to 14.5 million shares, representing approximately 5% of its outstanding shares, at a maximum price of 70,000 VND per share. The move, approved by the board of directors, is intended to reduce charter capital and protect existing shareholder interests. The estimated total cost is about 1,014 billion VND, funded from the company’s share premium account as of December 31, 2025.

Key Facts

• KIDO Group’s board approved the buyback of up to 14.5 million shares, equivalent to 5% of outstanding shares.
• Maximum purchase price is set at 70,000 VND per share.
• Estimated total expenditure at the maximum price is approximately 1,014 billion VND.
• The buyback is aimed at reducing charter capital and/or protecting shareholder interests.
• Funding source is the share premium account based on the 2025 standalone financial statements.
• The transaction is expected to be executed in Q2 and Q3 2026, pending confirmation from the State Securities Commission.
• The buyback will be conducted via order matching and/or negotiated methods through a securities company.

What Happened

On May 8, 2026, KIDO Group’s board of directors approved a resolution to implement a share buyback program, following prior authorization by an extraordinary general meeting of shareholders in 2026. The company plans to repurchase up to 14.5 million shares, or about 5% of its outstanding shares, at a price range of 40,000 to 70,000 VND per share. At the maximum price, the total cost would be around 1,014 billion VND.

The buyback is intended to reduce charter capital and/or protect the interests of existing shareholders. The company stated that the funds will come from its share premium account as of December 31, 2025, based on the standalone financial statements for that year. The transaction is expected to take place in the second and third quarters of 2026, after the State Securities Commission confirms receipt of the required documents and the company completes all disclosure procedures.

Market Context

KIDO Group (KDC) trades on HOSE and closed at 49,000 VND on April 10, 2026, with low volume of 199,600 shares. The buyback price range of 40,000-70,000 VND per share implies a premium of up to 43% over the recent close, signaling management’s view that the stock is undervalued. The consumer staples sector has faced headwinds from rising input costs and subdued consumer spending, but KDC’s buyback may provide support to the share price and improve shareholder returns.

Strategic Significance

The buyback reflects KIDO Group’s confidence in its financial position and commitment to enhancing shareholder value. By reducing charter capital, the company can improve earnings per share and return on equity. The use of share premium reserves indicates a strong balance sheet and a preference for returning capital to shareholders rather than pursuing large acquisitions or investments. This move may also signal that management believes the current market price does not reflect the company’s intrinsic value, potentially attracting value-oriented investors.

What to Watch

• Confirmation from the State Securities Commission that the buyback filing is complete.
• Actual execution timeline and whether the buyback is completed at the upper or lower end of the price range.
• KIDO Group’s Q1 2026 earnings release to assess cash flow and financial health.
• Any changes in the company’s dividend policy or future capital allocation plans.
• Market reaction and trading volume around the buyback announcement and execution.