FECON BECOMES INVESTOR OF 256-HECTARE INDUSTRIAL PARK IN BAC GIANG

Hoa Yen Industrial Park Project with a scale of 256 hectares in Bac Giang province has just been officially approved. The project was invested in by Fecon Hoa Yen, an associate company of FECON Investment Joint Stock Company (stock code FCN).

Deputy Prime Minister Tran Hong Ha has just signed a decision approving the investment policy for the construction and infrastructure business project of Hoa Yen Industrial Park, Bac Giang province.

At the same time, the Government approved FECON Hoa Yen Joint Stock Company, an associate company of FECON Investment Joint Stock Company (FECON Company stock code FCN—HoSE floor), to become the project's investor.

Hoa Yen Industrial Park project covers an area of more than 256 hectares with a total investment capital of VND 3,745 billion, of which Fecon Ha Yen contributes VND 561.8 billion. The project's operating period is 50 years from the date of investment policy approval.

FECON Hoa Yen was established in September 2023, mainly operating in the field of real estate business and land use rights owned, used, or leased. At the time of its establishment, Fecon Hoa Yen had a charter capital of VND 600 billion, of which FECON Company owned 55% of the capital.

However, by December 2022, FECON Hoa Yen's charter capital suddenly decreased to only VND 50 billion, reducing FECON Company's ownership ratio at Fecon Hoa Yen to 36%. Subsequently, by April 2023, the company's charter capital increased back to VND 600 billion.

According to FECON's reviewed semi-annual financial report for 2024, at the end of the second quarter of 2024, Fecon Hoa Yen is an indirect associate of FECON with a voting ratio of 36% and an interest ratio of 32.59%.

Starting as one of the leading underground construction and foundation construction enterprises in Vietnam, FECON is gradually expanding into a series of related fields, including residential real estate and industrial park real estate.

FECON has pursued 10 residential real estate, industrial parks, and industrial cluster projects in many provinces across the country.

Since 2021, FECON has pursued 10 residential real estate, industrial park, and industrial cluster projects in many provinces across the country. Most of these projects are in the process of completing legal documents and land clearance. In all projects, FECON Company serves as the master planner and one of the units participating in the bidding to select investors.

At the recent 2024 Annual General Meeting of Shareholders, the Board of Directors of FECON Company revealed that the company's real estate project portfolio currently has a total value of about USD 2 billion, including many large projects such as Nam Thai Urban Area (Thai Nguyen), My Hao Urban Area (scale of VND 16,000 billion, Hung Yen), Cam Ranh New Urban Area (scale of VND 12,000 billion, Khanh Hoa), etc. 

Recently, FECON Hiep Hoa Joint Stock Company - a subsidiary of FECON Company announced information on the investment implementation of the Danh Thang - Doan Bai Industrial Cluster with a scale of 75 hectares, in Doan Bai and Danh Thang communes, Hiep Hoa district, Bac Giang province. This industrial cluster has a total investment of VND 954 billion.

Land clearance for the project is expected to commence in the fourth quarter of 2024 and start leasing from the end of 2025.