[ad_1]
![Companies buy back bonds prematurely after Tan Hoang Minh arrests](https://vcdn-english.vnecdn.net/2022/07/26/anh116494802511649480257869616-7917-3057-1658807158_680x408.jpg)
An condominium constructing developed by Tan Hoang Minh in Hanoi. Picture courtesy of Tan Hoang Minh
Firms prematurely redeemed bonds value VND49.1 trillion ($2.1 billion) within the second quarter, almost 4 instances the primary quarter determine, spooked by the arrests of enterprise executives for alleged issuance-related fraud.
The redemptions added as much as VND61.9 trillion within the first six months, in line with the Ministry of Finance.
Do Anh Dung, chairman of property firm Tan Hoang Minh, and 6 others have been arrested in early April for “alleged fraudulent appropriation of property” by way of improprieties in bond issuances.
Authorities additionally cancelled the corporate’s 9 bond issuances value greater than VND10 trillion (US$437 million) between July 2021 and March 2022.
Since then quite a few massive corporations have purchased again or introduced plans to purchase again their bonds even earlier than maturity date.
Electrical tools producer Gelex redeemed bonds value VND1.4 trillion, a few of them solely issued 5 months earlier.
Retail chain Intimex Vietnam shelled out VND2 trillion for redemption, and HCMC Infrastructure Funding (CII) plans to purchase again VND2.8 trillion value of bonds from now by way of February.
Analysts at brokerage SSI Securities Company stated the revocation of Tan Hoang Minh’s bonds has made each issuers and traders extra cautious.
The Ministry of Finance advises retail traders to watch out about shopping for privately positioned bonds.
[ad_2]
Source link