KOS Plunges 52% as Margin Calls on Chairman's Family Shares Go Unfilled

Overview

Kosy (ticker KOS, HOSE) has fallen the daily limit for nine consecutive sessions, losing more than 52% of its market value in roughly half a month, as forced-selling orders on shares held by the chairman’s family members could not be matched. Five securities firms had issued margin calls covering nearly 3.8 million KOS shares tied to insiders and related organisations, but illiquidity has blocked execution. The episode puts insider ownership, broker margin policy and KOS’s real-estate and renewable-energy pipeline under simultaneous scrutiny.

Key Facts

• KOS closed at VND 15,800 on 1 October, down the full 6.78% daily limit and a ninth straight limit-down session.
• The stock is down more than 52% from its mid-September price level.
• Market capitalisation fell to just over VND 3,420 billion, a loss of more than VND 3,700 billion, on 216.48 million listed shares.
• Five securities companies announced margin calls on a combined nearly 3.8 million KOS shares held by insiders and related organisations.
• On 30 September, Capital Securities placed sell orders for 450,000 shares of Vice Chairwoman Nguyen Thi Hang and 476,000 shares of Deputy General Director Nguyen Thi Phuong Thao; zero shares matched.
• Chairman Nguyen Viet Cuong sold 4.3 million KOS shares between 27 August and 24 September, reducing his holding to 72,375,000 shares, or 33.43% of capital.
• H1 2026 revenue was nearly VND 723 billion, up 9% year on year, with after-tax profit of about VND 15.4 billion, up 120%.

What Happened

According to notices from Capital Securities (CTCP Chứng khoán Capital), the broker placed forced-sale orders on 30 September for 450,000 KOS shares held by Nguyen Thi Hang, Vice Chairwoman of Kosy’s board and wife of Chairman Nguyen Viet Cuong, and for 476,000 shares held by Nguyen Thi Phuong Thao, Deputy General Director and the chairman’s younger sister. Neither order matched a single share by the close. In total, five brokers had earlier announced margin calls on close to 3.8 million KOS shares owned by insiders and organisations linked to Mr. Cuong.

Separately, Mr. Cuong disclosed that he sold 4.3 million KOS shares between 27 August and 24 September, cutting his ownership to 72.375 million shares, or 33.43% of Kosy. He did not complete the full 5 million shares originally registered, citing unfavourable market conditions and failure to reach expected agreements. Kosy has attributed the share-price decline to negative market conditions, reduced liquidity, funding difficulties for production and business, and some securities firms lowering margin ratios for KOS, while stating that its real-estate, renewable-energy and project operations remain normal.

Market Context

KOS trades on the Ho Chi Minh City Stock Exchange (HOSE) and sits at the intersection of two pressured sectors: real estate and securities. The stock’s close of VND 15,800 on 1 October marks a ninth consecutive limit-down session and a decline of more than 52% from mid-September, with market capitalisation down to just over VND 3,420 billion. The failure of margin calls to execute is a liquidity symptom rather than a valuation signal: with demand thin and the price pinned at the floor, brokers cannot exit positions, which in turn sustains the selling overhang.

Strategic Significance

For long-term investors, the central issue is not the H1 2026 profit line, which rose 120% year on year to roughly VND 15.4 billion on revenue of nearly VND 723 billion, but the interaction between insider leverage and a thin order book. When a chairman’s family members hold margin-financed positions that cannot be liquidated, the resulting overhang can persist well beyond the fundamental news flow, and brokers’ decisions to cut margin ratios for KOS become self-reinforcing. The chairman’s reduction to 33.43% also changes the governance picture: a lower insider stake reduces the alignment that often anchors minority-holder confidence during drawdowns, while the company’s stated project pipeline in real estate and renewable energy remains unverified by cash-flow evidence at this price.

What to Watch

• Whether the roughly 3.8 million margin-called KOS shares are eventually matched, and at what prices, in daily HOSE trading data.
• Further insider transaction disclosures from Chairman Nguyen Viet Cuong and family members, including any additional sales or stake changes below 33.43%.
• Broker announcements on margin ratios and collateral treatment for KOS, which the company has cited as a pressure factor.
• Kosy’s next financial disclosure, including progress against the H1 2026 profit result of about VND 15.4 billion.
• Any HOSE or State Securities Commission inquiry into the consecutive limit-down sessions or trading liquidity.