Another FLC stock faces delisting

Previously, five other stock codes related to FLC Group (HM: ) were forced to delist, including FLC, ROS, HAI, AMD (NASDAQ: ) and GAB. The Hanoi Stock Exchange (HNX) has just announced that CFS Import-Export Trade Investment Joint Stock Company’s KLF shares may be delisted.

Accordingly, HNX stated that due to serious violations of information disclosure obligations by listed institutions, it will consider forced delisting of KLF stocks. HNX requires the company to provide a written response to this issue within 5 working days from January 4.

Previously, in mid-November 2023, the State Securities Regulatory Commission decided to impose administrative penalties on CFS Import and Export Trade Investment Co., Ltd. due to violations related to information disclosure.

Specifically, the company was fined VND92.5 million for failing to publish the audited 2022 financial statements, the audited semi-annual financial reports for 2022 and 2023, and the 2022 annual report in the information disclosure system. In addition, the company did not publish its second quarter financial report for 2023 on the Hanoi Stock Exchange website on time.

In addition, the company was fined VND150 million for publishing false information. Specifically, in 2021, the company had incidents with related parties such as Haizhou Co., Ltd., HAI Agrichemical Co., Ltd. (code HAI), FLC Stone Investment and Mining Co., Ltd. (code AMD), FLC Mining Investment and Asset Management Co., Ltd. Trading Company (symbol GAB). However, the company said in a management report that “no transactions occurred.”

One of the latest announcements from the company is the results of the extraordinary general meeting of shareholders. This information was released on January 5, 2024. Accordingly, among the total 18,375 shareholders of the company, only 22 shareholders attended this meeting (including 7 direct shareholders and 15 authorized shareholders). The proportion of shares with voting rights present at the meeting is 0.207%, and they are not qualified for deliberation according to regulations.

On the stock exchange, trading of KLF shares was suspended, so starting from March 2023, the price of the stock has been maintained at VND 800/share. This level is well below the VND10,500/share peak set in early 2022 after a series of popular gains. The stock began a long slide when former FLC Group chairman Trinh Van Quyet was arrested on suspicion of stock market manipulation.

Since early March 2023, KLF share price has been stable at VND800/share.Before KLF, five other stocks related to FLC Group were forced to delist, including FLC (FLC Group), ROS (FLC Faros Construction (HM:)), HAI (HAI Agrichemical), and AMD (Investment). ) and GAB (FLC Mining Investments and Asset Management). The Ho Chi Minh City Stock Exchange stated in its notice on the delisting of these stocks that “the listed institutions seriously violated their information disclosure obligations and failed to fulfill their financial obligations to the stock exchange.” Or the State Securities Regulatory Commission deems delisting necessary to protect the interests of investors. of.

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