Nguyen Tu Quang's antivirus company sells assets to pay off bond debt

Bkav Antivirus Software Joint Stock Company (Bkav Pro) has just announced the resolution of the bondholders' conference with notable content.

Accordingly, the resolution approved the contents allowing Bkav Pro to re-evaluate the collateral assets of the bond lot BKPCB2124001 to determine the handling plan.

The scope of assets to be revalued includes: more than 6.1 million Bkav Pro shares owned by Bkav Joint Stock Company and 4.9 million Bkav Joint Stock Company shares owned by Mr. Nguyen Tu Quang.

The resolution states that within 30 days from July 24, Bkav Pro must find a partner to sell its assets, with the condition that the proceeds plus the arrangement to pay the debt must be at least equal to the remaining unpaid obligation.

In case the above time limit has passed but the sale is not successful, the asset management organization will continue to convene a bondholder meeting to consider the next plan.

Bond lot BKPCB2124001 was issued in May 2021, mobilizing 170 billion VND, interest rate in the first year is 10.5%/year, in the following years it will float according to the average 12-month interest rate of the "Big4" banking group plus 4.5% (not lower than 10.5%).

Bkav Pro said that the money from the bond issuance will be used to expand and develop AI View cameras, invest in digital transformation and partly develop affordable Bphone smartphones with the goal of popularizing the market and reaching more customer segments.

Last May, the company was approved by bondholders to extend the bond for another year, with a new maturity date of May 26, 2025. The interest rate during the 1-year extension period is 11%/year.

At the same time, the issuing company also amended and supplemented the terms on the collateral of the bond lot, including Bkav Pro shares owned by the parent company Bkav Joint Stock Company and the entire capital contribution under the name of Chairman Nguyen Tu Quang, at Vietnam Digital Transformation Platform Company Limited (DXP Company).

Bondholders have the right to request Bkav Pro, Bkav and DXP to report revenue and expenditure, and accumulate cash flow of at least 1.5 billion VND/month into accounts at VNDirect.

In early 2024, VNDirect - the bondholder representative reported a violation because Bkav Pro did not accumulate the minimum amount in January and requested the company to pay additional money within 15 days from February 14.