BECAMEX’S BOND – BCMBond_20.08

Company Information

Industrial Investment and Development Corporation (Becamex) was established and owned by the People’s Committee of Binh Duong province (95% ownership rate), creating a competitive advantage compared to other businesses operating in the same field.

Becamex is also the largest industrial real estate investor in Vietnam with 12.4% market share. Along with owning 49% of capital in joint venture VSIP (with Singaporean investor group) and 30% of capital in joint venture BWID (with Warburg Pincus Group), contributing to the formation of large industrial parks in many provinces and cities such as Hai Duong, Bac Ninh, Hai Phong, Nghe An, Quang Ngai.

Industrial park development

As a core business field with over 20 years of experience, the Corporation is investing and managing dozens of industrial parks across the country stretching from North to South.

Residential and commercial real estate development

With the goal of providing services and accommodation for experts and workers, while improving the quality of life for people in the region and locally, the Corporation has invested in developing urban and residential areas. The residence has synchronous planning adjacent to industrial zones

Medical and educational services

Education and health are long-term strategic areas of social security and sustainable development for the entire Province.

Electrical installation and sales

The Corporation participates in this field through contributing investment capital in new member units, deploying electricity installation and sales to serve the needs of investors in Industrial Parks.

Construction

Supporting activities mainly serve the construction of industrial park infrastructure and infrastructure of real estate projects of the Corporation.

Port operation

The Corporation is researching to invest in this field, which is predicted to be an area of operation that opens up a lot of potential for the business in the coming period.

Financial Situation

Income statement (Bil VND)	2018	2019	2020	2021	2022
Gross revenue	6,462	8,213	6,507	6,982	6,506
Gross profit	3,220	3,387	3,261	3,223	2,736
Net profit	2,337	2,631	2,299	1,504	1,174
Gross profit margin	49.9%	41.2%	50.1%	46.1%	42.1%
Net profit margin	36.6%	32%	33.6%	30.9%	26.4%

Bond information

Issuance Scale	VND 100.000.000.000 (100 bil VND)
Issue Date	28/08/2020
Maturity Date	15/08/2024
Term	4 years
Coupon payment term	Every 3 months
Coupon interest	– First 4 terms: 11%/year – Term 5th to 8th: 12%/năm – From terms 9th: reference interest rate + 5%, but not lower than 11,5%/year
Collateral	Real estate in Binh Duong province worth 2,870 billion VND

* This bond enjoys the most attractive interest rate among PineB products, which is suitable for customers who choose long investments, hold the bond to maturity. Customers who want to sell before the maturity can find their partners and carry out transfer procedures through the Depository Agent. Please refer to the bond documents below.

Documentations

Bond introduction