Vietnam’s Hoa Sen Holdings has sold a3.6% stake in its subsidiary leading coated steel maker Hoa Sen Group for VND 250 billion reducing its ownership to 0%. Hoa Sen Holdings is founded and owned by Mr Le Phuoc Vu, who is also chairman of Hoa Sen Group. Thus transaction is not a sign of Mr Vu’s withdrawal from the company, and he remains the largest shareholder with a 17.09% stake.Mr Vu had earlier said “Hoa Sen is already the dominant player in the corrugated iron, steel and plastic markets and so there was little room for further growth, needing a change in its focus from manufacturing to distribution to take advantage of its network.”To continue developing, the Board of Directors has set out a strategy to maintain existing strengths, boost Hoa Sen Home chain and restructure the group towards specialisation to optimise efficiency. In the development strategy, the company said that the Board of Directors has a policy of transforming the operating model. Specifically, the unit will convert one limited company into Hoa Sen Plastic Joint Stock Company to take over all production and business activities of the plastic segment. In addition, it also established a new company - Hoa Sen Furniture and Building Materials Distribution JSC - to take over all business activities of the distribution, retail segments and Hoa Sen Home. VNS
Vietnam’s Hoa Sen Holdings has sold a3.6% stake in its subsidiary leading coated steel maker Hoa Sen Group for VND 250 billion reducing its ownership to 0%. Hoa Sen Holdings is founded and owned by Mr Le Phuoc Vu, who is also chairman of Hoa Sen Group. Thus transaction is not a sign of Mr Vu’s withdrawal from the company, and he remains the largest shareholder with a 17.09% stake.Mr Vu had earlier said “Hoa Sen is already the dominant player in the corrugated iron, steel and plastic markets and so there was little room for further growth, needing a change in its focus from manufacturing to distribution to take advantage of its network.”To continue developing, the Board of Directors has set out a strategy to maintain existing strengths, boost Hoa Sen Home chain and restructure the group towards specialisation to optimise efficiency. In the development strategy, the company said that the Board of Directors has a policy of transforming the operating model. Specifically, the unit will convert one limited company into Hoa Sen Plastic Joint Stock Company to take over all production and business activities of the plastic segment. In addition, it also established a new company - Hoa Sen Furniture and Building Materials Distribution JSC - to take over all business activities of the distribution, retail segments and Hoa Sen Home. VNS
