GC Food dissolves subsidiary, board member resigns without giving reason

In his resignation letter dated June 24, Mr. Pham Hop Pho expressed his wish to be approved to resign from June 30. Mr. Pho did not mention the reason for his resignation.

According to the 2023 annual report, GC Food's board of directors consists of 7 members. Of which, Mr. Nguyen Van Thu is the chairman of the board of directors. If Mr. Pho's resignation is approved, the board of directors will have 6 members.

Also related to the movement at GC Food, this company recently announced the dissolution of Pura Technology LLC. According to GC Food, the reason for dissolving this subsidiary is to "change business strategy and no longer need to operate".

On June 25, speaking with Tuoi Tre Online , Mr. Nguyen Van Thu said that when establishing this subsidiary, the direction was to link a number of units to develop machinery in the agricultural sector.

However, Mr. Thu had to admit that the company does not have an advantage in the field of machinery technology. "Instead of making and supplying machinery by ourselves, it is more profitable to buy machinery from agricultural processing companies. Therefore, GC Food dissolved its subsidiary in legal name. All activities of GC Food are still normal and bright," Mr. Thu informed.

The consolidated financial report for the first quarter of 2024 shows that GCFood owns 4 subsidiaries. Of which, Pura Technology is the enterprise that GCFood owns with a 100% holding ratio.

After dissolution, this enterprise still has 3 other subsidiaries: Canh Dong Viet Food Joint Stock Company, Nang va Gio Joint Stock Company, Co Co Vietnam Food Joint Stock Company.

GC Food’s moves occurred around the same time that major shareholder AIG Asia Materials JSC increased its ownership. Specifically, on June 17, AIG Asia Materials JSC received the transfer of more than 2.18 million GCF shares. Accordingly, the ownership ratio increased from 6.99% to 14.1%.