On October 17, Dream City Villas Real Estate Trading Company Limited (formerly Tan Lien Phat Saigon Real Estate Trading Company Limited) bought back all MRVCB2328001 bonds with a total value of VND 2,300 billion before maturity, thereby clearing all debt to bondholders.
This bond lot was issued on March 10, 2023, with a term of 5 years. Thus, the enterprise has bought back the entire bond lot after just over a year of issuance. This is also the final bondholder debt of this real estate enterprise.
According to information from Vietnam Securities Depository and Clearing Corporation (VDSC), Dream City Villas Real Estate is likely to spend more than VND 2,500 billion in the recent payment, including VND 2,300 billion in principal and nearly VND 222 billion in interest.
Another real estate company, Hung Yen Urban Development and Investment Company Limited, which successfully raised VND 7,200 billion in bonds in just one day (March 16, 2023), has also paid off all its bond debt in the first 6 months of this year.
According to the semi-annual principal and interest payment report, Hung Yen Urban Development and Investment has fully paid off the principal of VND 7,200 billion and nearly VND 4 billion in interest of the two bond lots HIDCB2324001 and HIDCB2324002. Up to now, this enterprise has not issued new bonds.
Besides the above enterprise, some other real estate "giants" have also paid off all bond debt such as Phat Dat Real Estate Development JSC, An Gia Real Estate Investment and Development JSC, Nice Star Real Estate Investment and Development LLC, and LC Real Estate Trading LLC.
The fact that real estate businesses are gradually resolving the bond burden is a positive signal for the market, a driving force to regain investor confidence in this important financial channel.
Data from the Hanoi Stock Exchange (HNX) shows that 35 real estate companies have paid off their debt from bonds, most of which were bought back early with a total payment to bondholders of more than VND20,000 billion. This move is considered very positive because the real estate market has not yet escaped the prolonged difficult situation.
