On May 12, 2014, Dat Xanh Group (DXG) successfully held the Annual General Meeting of Shareholders 2014 at Rex Hotel (141 Nguyen Hue, district 1, Ho Chi Minh City). The General Meeting was considered successful and directly attended by 84 shareholders who represent 67.59% of voting shares.
Annual General Meeting of shareholders 2014 is an important event which mark the end of tax year 2013, a difficult year to real estate market, and also approves the business plan 2014.
At the General Meeting, members of the Executive Board and the Control Board have reported and approved: Report on operation of the Executive Board in 2013; Business plan 2014, The Control Board’s report; audited financial statement 2013; selection of audit company in 2014; approval for profit distribution plan 2013, and profit distributino plan 2014; report on payment of wages for members of the Executive Board and the Control Board in 2014, plan for wages of members of the Executive Board and the Control Board 2014; approval for designation of the Chairperson of the Executive Board a the company’s General Director.
The Executive Board requested the General Meeting of Shareholders to approve the designation of Mr. Tran Viet Anh as a member of the Executive Board of DXG during the term 2012 - 2017 to replace Mr. Tran Minh Toan. Mr. Tran Viet Anh is now a Deputy Chief of the Executive Board, Deputy Director in charge of Risk Management and Surveillance of Viet A Bank,
At the General Meeting a plan for distribution of dividen in 2013 was also approved, which is 7% with shares, total quantity of dividend-paying shares is 5.25 million shares, the ratio is 100:7.
The General Meeting also approved the increase of charter capital from 750 billion to 1250 billion. In particular, DXG will issue 18.75 million shares to existing shareholders at face value (VND 10,000/share) in a ratio of 4:1.
Besides, DXG will also issue 25.7 million shares to strategic shareholders at a price not lower than VND 10,000/share. Such shares for strategic partners will be restricted from transfer for 12 months.
300,000 shall be issued to employees of DXG according to employee selection program from share premium or cumulative profit.
Capital generated from the issuance will be used for 02 projects (including received projects): Riverside Garden in Thu Duc district and Green City in district 9 of Ho Chi Minh City.
According to the reports at the General Meeting, the business in 2013 is more effective than that in 2013. At the end of the tax year 2013, DXG has recorded a net revenue of 343 billion vietnam dong, which is reduced by 15% compared to this period last year. In 2013, revenue from real estate transfer (directly invested projects/immediate investment) is VND 160 billion, makes up 47% of revenue; gross profit is VND 75 billion VND, makes up 37% of total profit. Gross profit margin of real estate transfer in 2013 is 47%, much higher compared to 27% in 2012 and 44% in 2011.
Meanwhile, revenue and profit from services and real estate brokerage (including indirect investment and brokerage) is respectively VND 178 billion (52% of total revene) and VND 131 billion (64% of gross profit). Gross profit margin of services and real estate brokerage in 2013 is 74%, which is a slight decrease in comparison to 79% in 2012 and 88% in 2011.
Net profit reached 82.76 billion Vietnam dong, increased by 43% compared to that in last year, 18% above the set target.
2013 is yet another successful year of DXG although the economy has not fully recovered and real estate industry still faces plenty of challenges. However, DXG has overcome every difficulty and brought hundreds of quality apartments to its customers, projects in which DXG invested or invested in cooperation such as Sunview Town, Gold Hill, The Viva City, 4S Linh Dong have made great impression on the market.
Chairperson
The discussion and consultatin between leaders of DXG and shareholders are the most buoyant parts of the General Meetings. Shareholders’ remarks represent their intense interest in the business and development of DXG.
In response to the question why did DXG decide to increase its charter capital to 1,250 billion Vietnam dong in 2014, DXG’s president, Mr. Luong Tri Thin said the capital increase is necessary for the current scale of the Group. Moreover, DXG is concentrating on investment in mixed urban areas and expansion of Hanoi market, especially real estate for tourism.
To be more specific, DXG’s strategy for the future will focus 3 fields: Services, Investment, and Construction. Accordingly, DXG will enhance M&A transactions and buy projects at attractive price to generate high profit. Therefore, capital increase will bring opportunities and land fund to DXG. This is the reason why the Executive Board of DXG decided to put forward the capital increase plan.
Mr. Luong Tri Thin, The Chairperson of the Executive Board giving a speech at the General Meeting
In 2014, DXG will keep executing large-scale real estate projects and focusing on real-value real estate projects. Also, at the General Meeting, Mr. Nguyen Quang Ving - Deputy Chairperson of DXG’s Executive Board, also a representative of Viet A Bank (strategic partner of Dax Xanh) said to shareholders: "In 2014 and succeeding years, VietABank is committed to facilitate financial support for DXG in purchasing, investing in, building, and developing real estate projects, provide business opportunity, introduce appropriate credit policies to reduce financial burden of more and more customers with demand for real estate.
The companies engaged in various fields owned by DXG, which will be enabled to focus their resources to lead the market, a tighter system management, and mutual support will create a closed and perfect loop in the real estate industry. Investment - Construction - Services, which facilitate the company’s business.
Shareholders vote for issues put forward by the Executive Board
All shareholders that attended the General Meeting voted for the issues put forward by the Executive Board (100% of votes are affirmative). Such consensus shows the absolute trust of shareholders in sharp business plans and strategic orientation of the Executive Board. On behalf of the Executive Board, Mr. Luong Tri Thin (the Chairperson of the Executive Board) expressed their gratitude to shareholders, partners, employees, etc. who have contributed to the success of Dax Xanh over the past time, who will trust and accompany Dat Xanh in the future.
The General Meeting
Annual General Meeting of shareholders 2014 ended successfully with concensus and high determination. The fluctuations of finance market is still unpredictable in 2014, but with the resolution and unanimity of shareholders, leaders, and employees, support from customers and partners, etc. Dat Xanh fervently believes in its path and is ready to face a new business year with plenty of challenges as well as promises, which make DXG a leading busienss corporation.
Nhật Hạnh