Billionaire Thao's company replaces Posco E&C in Splendora

January 17, 2018 | 16:02

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The whole share volume owned by Poso E&C Co. (South Korea), equivalent to 50 per cent of the total shares at Splendora in Hanoi, has been transferred to Phu Long Real Estate JSC of billionaire Nguyen Thi Phuong Thao.

Phu Long is well positioned to acquire the rest of Splendora

Phu Long, which is under Sovico Holdings Company, is a big real estate company in Ho Chi Minh City. It has carried out major projects like Dragon City (33 hectares), Dragon Riverside City (3.1ha), Dragon Village (21.6ha), and developed HDBank Tower and Sovico Phu Quoc.

Before acquiring 50 per cent of Splendora’s shares from Posco E&C, at the end of 2017, Phu Long raised its charter capital from VND700 billion ($30.85 million) to VND3 trillion ($132.2 million).

The deal marks the appearance of Phu Long on the Hanoi real estate market. This is also a good opportunity for Phu Long to acquire the 50 per cent left from Vinaconex because the corporation has been planning to divest from Splendora for a while now.

Besides Splendora, Vinaconex has invested into various projects, such as a building complex at 97 in Lang Ha Street, 2B Vinata Tower at 289 Khuat Duy Tien Street, a project at 93 Lang Ha Street, and an apartment building at 25 Nguyen Huy Tuong Street.

At a recent roadshow, director general of Vinaconex said that Splendora could earn a total revenue of around VND1.2 trillion ($53 million) in 2018 with a profit of VND430 billion ($19 million). According to the plan, Splendora could gain VND2 trillion ($88.1 million) of revenue and VND500 billion ($22 million) of profit by 2020.

Splendora is one of the largest-scale real estate projects in the west of Hanoi with its area of 264ha. An Khanh Joint Venture Company of Vinaconex and Posco E&C (now Phu Long JSC), is the project developer.

Owners’ stand-off immobilises Splendora

The Splendora project, in which Posco E&C holds 50 per cent, does not look like it is going to be completed by 2018 as was planned earlier due to a recent proposal submitted to the local authorities to adjust the 1/500 planning of the project.

Viettel wins Splendora contract

Viettel Hanoi, a branch of Viettel, on February 27 became a partner to develop infrastructure and supply telecommunication service for the first phase of the Splendora project.

By By Nguyen Huong

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