Kosy (KOS) Chairman Margin Call: 560,854 Shares Force-Sold as KOS Falls 70%

Overview

Kosy Chairman Nguyen Viet Cuong had 560,854 KOS shares liquidated by a securities firm between October 7 and 13, 2026, reducing his stake to about 33.17% of shares outstanding. The forced sale extends a run of margin calls across the chairman and related shareholders while KOS, listed on HOSE, has fallen the daily limit for 17 consecutive sessions. The episode matters because it shows how margin deleveraging, not company disclosure, is now the dominant driver of the KOS share price.

Key Facts

• Chairman Nguyen Viet Cuong was force-sold 560,854 KOS shares from October 7 to 13, 2026.
• His holding fell from 72,374,490 to 71,813,636 shares, equal to roughly 33.17% of shares outstanding.
• An earlier margin call sold 810 KOS shares from September 30 to October 6, below the volume the broker had actually queued to sell.
• Cuong also sold more than 4.26 million KOS shares on his own account between late August and September 24.
• Related entity Dau tu Dia oc Kosy was force-sold 8,000 KOS shares on September 29 and October 1-5, leaving it 9,969,700 shares, or about 4.6%.
• KOS closed at VND 8,960 on October 13, its 17th straight floor session, down more than 70% from above VND 33,000 a month earlier.
• Floor-price sell orders reached 75.6 million shares, roughly 35% of the company’s total shares outstanding.
• Market capitalization fell from about VND 7,298 billion to nearly VND 1,940 billion, a decline of more than VND 5,250 billion.

What Happened

According to the disclosure reported on October 13, Chairman Nguyen Viet Cuong, who holds a doctorate, was sold out of 560,854 KOS shares by a securities company over the October 7-13 window. The transaction cut his position from 72,374,490 shares to 71,813,636 shares, or approximately 33.17% of Kosy’s outstanding stock. It followed a smaller forced sale of 810 shares between September 30 and October 6, which the filing indicates was well below the volume the broker had actually placed for sale, and a voluntary disposal of more than 4.26 million shares between late August and September 24.

The same pattern appears among related holders. Dau tu Dia oc Kosy, an entity linked to Chairman Cuong and Vice Chairwoman Nguyen Thi Hang, reported a forced sale of 8,000 KOS shares on September 29 and October 1-5, leaving it with 9,969,700 shares, or about 4.6% of the register. Leo Regulus Investment JSC and other company leaders have reported similar margin calls. Kosy has filed multiple explanations to the Ho Chi Minh City Stock Exchange, most recently for the October 5-9 floor streak, attributing the decline to market inertia, selling pressure and brokers cutting margin allocations and liquidating shares.

Market Context

KOS trades on HOSE and closed at VND 8,960 on October 13, 2026, its 17th consecutive floor session. The stock sat above VND 33,000 only a month earlier, before the losing streak began on September 21, and has now lost more than 70% of its value. Market capitalization has compressed from roughly VND 7,298 billion to about VND 1,940 billion. Order-book depth is the binding constraint: 75.6 million shares, about 35% of the register, are queued at the floor price while bid interest is described as negligible, so holders cannot exit even at the minimum price. The move is idiosyncratic to KOS rather than a broad real estate sector signal, but it illustrates how quickly margin contraction can overwhelm fundamentals on a tightly held HOSE small cap.

Strategic Significance

For long-term investors, the central issue is ownership structure rather than the October liquidation itself. A chairman still holding roughly 33.17% after repeated forced sales, alongside related entities that have also been margin-called, leaves the register exposed to further mechanical selling if collateral values keep falling. Kosy’s explanation points to broker margin cuts as a cause of the decline, which means the selling is driven by lenders’ risk limits, not by a disclosed deterioration in the property development or renewable energy businesses. Until forced supply clears and the floor-price queue shrinks, the share price reflects deleveraging mechanics rather than any assessment of Kosy’s project pipeline or asset value.

What to Watch

• Further disclosure filings from Chairman Nguyen Viet Cuong and related entities such as Dau tu Dia oc Kosy and Leo Regulus Investment JSC.
• The size of the floor-price sell queue and whether daily trading volume starts absorbing it.
• Any HOSE request for explanation or status review tied to the extended floor-price streak.
• Broker announcements on margin ratios and collateral haircuts applied to KOS.
• Kosy’s next financial statements for evidence on real estate and renewable energy operations, which the company says remain unaffected.