Loc Troi Group Loses Public Company Status, Faces UPCoM Delisting

Overview

The State Securities Commission (SSC) has revoked the public company status of Loc Troi Group (LTG), a major Vietnamese agricultural firm. The revocation follows LTG’s failure to submit audited financial statements for two consecutive years, which may result in the cancellation of its securities registration and the suspension of trading on the UPCoM exchange. This development marks a significant regulatory action against a once-prominent player in Vietnam’s rice and agrochemical sector.

Key Facts

• The SSC announced the revocation of LTG’s public company status, effective as of the announcement date.
• LTG has not filed audited financial statements for fiscal year 2024, the first half of 2025, the full year 2025, and the first half of 2026.
• The company’s shares have been suspended from trading since late June 2026, and were previously under restriction for delayed financial reporting.
• LTG’s stock last traded at VND 5,300 per share on June 21, 2026, down 3.64% on the day, with volume of 52,100 shares.
• In 2023, LTG’s net profit fell to approximately VND 16.5 billion, a 25-fold decline year-on-year and the lowest since 2008.
• In Q1 2024, the company reported a net loss of over VND 95 billion.
• CEO Trần Khánh Dư stated at a May 2025 shareholder meeting that the company faced debt issues and lost the ability to pay banks in 2024.

What Happened

The State Securities Commission has formally revoked the public company status of Loc Troi Group (LTG), a company formerly known as Bảo Vệ Thực Vật An Giang (AGPPS). The decision, announced via official notice, stems from LTG’s failure to publish audited annual financial statements for two consecutive years, as required under Vietnam’s Securities Law. The SSC did not specify additional reasons, but the regulatory framework mandates such action for non-compliance.

According to the company’s filings, LTG has not submitted audited financial reports for 2024, the first half of 2025, the full year 2025, and the first half of 2026. In a request for an extension to HNX and SSC, management cited significant personnel turnover and difficulties in compiling financial data. At an extraordinary shareholder meeting in May 2025, CEO Trần Khánh Dư explained that the company encountered financial difficulties in 2024, including insolvency issues with banks, and that restructuring efforts were ongoing but complex. He projected that audited reports would be published in Q3 2026.

Market Context

LTG shares are listed on the UPCoM exchange, where they have traded below par value for nearly two years. The stock last closed at VND 5,300 on June 21, 2026, reflecting a 3.64% decline on thin volume of 52,100 shares. The trading suspension since late June 2026 has effectively frozen liquidity for shareholders. The revocation of public company status is a severe escalation, potentially leading to delisting from UPCoM and removal from the securities depository system. This development underscores the challenges facing Vietnam’s agricultural sector, where volatile rice prices have pressured companies like LTG.

Strategic Significance

For long-term investors, the loss of public company status represents a fundamental shift in LTG’s accessibility and governance. Once delisted, shares will no longer trade on any centralized exchange, making it difficult for shareholders to exit their positions. The company will manage shareholder records directly, reducing transparency and regulatory oversight. This event highlights the risks of investing in companies with weak financial reporting discipline, especially in cyclical sectors like agriculture. LTG’s historical role as a major rice purchaser and exporter to 40 countries underscores its systemic importance, but current financial distress and governance failures may deter future investment.

What to Watch

• Publication of audited financial statements for 2024 and subsequent periods, expected by Q3 2026.
• Official delisting notice from VSDC and UPCoM, which would confirm the end of trading.
• Any restructuring plans or capital injections announced by management to address debt and operational issues.
• Regulatory actions or penalties from SSC beyond the status revocation.
• Shareholder communications regarding how ownership rights will be managed post-delisting.