KOS: Chairman Margin Call Cuts Stake to 33.43% as Shares Hit Floor

Overview

Kosy Group (HOSE: KOS) disclosed that Chairman Nguyen Viet Cuong and related entity Dau Tu Dia oc Kosy had KOS shares forcibly sold by a securities company via margin call. The forced sales reduced Cuong’s ownership to 33.43% and came as KOS shares fell to the floor for five consecutive sessions from September 28 to October 2, 2026.

Key Facts

• Chairman Nguyen Viet Cuong had 810 KOS shares forcibly sold via margin call between September 30 and October 6, 2026, reducing his holding to over 73.37 million shares, or 33.43% of capital.
• Related company Dau Tu Dia oc Kosy had 8,000 KOS shares forcibly sold on September 29 and from October 1 to October 5, 2026, cutting its stake from 4.61% to 4.605% (9.96 million shares).
• Vice Chairwoman Nguyen Thi Hang, a capital contributor at Dau Tu Dia oc Kosy, currently holds nearly 13.9 million KOS shares, equal to 6.42% of capital.
• KOS shares fell to the floor for five consecutive sessions from September 28 to October 2, 2026.
• Kosy reported H1 2026 net revenue of nearly VND 722.7 billion, up over 9% year-on-year, and after-tax profit of nearly VND 15.4 billion, up nearly 121%.
• As of June 30, 2026, total assets rose 4.4% from the start of the year to over VND 5,078.4 billion, with inventory accounting for 54.7% of total assets at nearly VND 2,778.5 billion.
• Total liabilities increased 7.8% to nearly VND 2,725.6 billion, of which total borrowings and finance leases were over VND 1,997.7 billion, or 73.3% of total debt.

What Happened

According to a company filing on October 6, 2026, Chairman Nguyen Viet Cuong was forced to sell 810 KOS shares via margin call between September 30 and October 6. The transaction was executed through order matching. Following the sale, Cuong’s ownership decreased to more than 73.37 million shares, equivalent to 33.43% of the company’s capital. Separately, Dau Tu Dia oc Kosy, a related company where Cuong serves as Chairman of the Members’ Council, had 8,000 KOS shares forcibly sold on September 29 and from October 1 to October 5, 2026. Its stake fell from over 9.97 million shares (4.61%) to 9.96 million shares (4.605%).

In a separate development, Kosy announced a resolution approving the transfer of its entire capital contribution in Tu van Dau tu xay dung Thuy dien (Hydropower Construction Investment Consulting), a subsidiary in which Kosy held a 90% stake as of June 30, 2026. Upon completion, Kosy will no longer hold any capital in the company and will cease to consolidate it as a subsidiary. The company also issued a report explaining the five consecutive floor sessions from September 28 to October 2, 2026, attributing the decline to continued market downturns, selling pressure, and reduced market liquidity.

Market Context

KOS closed at VND 12,750 on October 6, 2026, on the Ho Chi Minh Stock Exchange (HOSE). The five-session floor streak reflects severe selling pressure, likely exacerbated by margin calls on major shareholders. The real estate sector has faced headwinds from tightening credit conditions and weak market sentiment, with many property stocks underperforming the broader VN-Index. The forced sales of insider holdings can further dampen investor confidence, as it signals potential financial stress among key stakeholders.

Strategic Significance

For long-term investors, the margin call on the chairman and related entity raises questions about the financial leverage of Kosy’s leadership and the potential for further forced selling. While the company’s H1 2026 results showed revenue and profit growth, the high inventory level (54.7% of total assets) and significant debt load (73.3% of liabilities) indicate liquidity risks, especially in a challenging real estate market. The divestment from the hydropower subsidiary may streamline operations, but it also removes a revenue source. The key strategic challenge is restoring market confidence and managing leverage amid sector-wide pressures.

What to Watch

• Further disclosures on insider transactions or changes in ownership by major shareholders.
• The company’s Q3 2026 earnings release, expected in late October, for updates on profitability and debt reduction.
• Market liquidity trends and any recovery in KOS share price from the floor.
• Any additional margin calls or forced sales by related parties.
• Progress on the divestment from Tu van Dau tu xay dung Thuy dien and its impact on financial statements.