Dragon Capital sells 23 million PC1 stocks

PC1 has been on the rise and reached around VND17,000 ($0.74) per share , up 70 per cent against the end of March

Power Construction JSC No.1 (PCC1, HSX: PC1) has recorded consecutive plunges in stock price since early this year, driving it down to VND10,000 (43.48 US cents) at the end of March. However, under the positive impact of Vietnam's success in COVID-19 prevention, PC1 has made a turnaround and reached around VND17,000 (74 US cents).

Notably, right after the rebound, Dragon Capital’s three foreign funds – Amersham Industries Ltd., Grinling International Ltd., and Vietnam Enterprise Investments Ltd. – immediately sold 23 million PC1 stocks, an equivalent of 14.47 per cent of voting stocks in circulation. After the move, the fund is no longer a large shareholder of PCC1.

The transactions took place on May 11, with Vietnam Enterprise Investments selling 17.5 million, Amersham Industries 5.38 million, and Grinling International 120,000 stocks.

The same day also saw a total of 26 million PC1 stocks put on trade at the value of VND468 billion ($20.35 million), equaling VND18,000 (78.26 US cents) per share.

In its annual financial report this year, despite difficulties in 2020 due to the COVID-19, the firm still set a higher growth target. Specifically, it expects to reach VND7 trillion ($304.35 million) in revenue, up 20 per cent on-year. The after-tax profit target is VND469 billion ($20.4 million), up 25 per cent. Of this, civil and industrial manufacturing will contribute VND3.266 trillion ($142 million) and VND1.273 trillion ($55.35 million), respectively.

PCC1 has just published its business result in this year’s first quarter. Its net revenue and after-tax profit reached nearly VND1.37 trillion ($59.57 million) and more than VND88 billion ($3.83 million), respectively.