Facilities of Binh Duong Water Environment JSC (Biwase). (Photo: biwase.com.vn) The Binh Duong Water Environment JSC (Biwase), a prominent name in the waterindustry, has approved a plan of acquiring stakes in five companies operatingin the water and environmental sanitation sectors in Long An and Quang Binh provinces.
They are DNP - Long An Water Infrastructure Investment Joint-Stock Company, ChauThanh Urban Construction Joint Stock Company, Can Giuoc Urban Project JointStock Company, Bang Tam Water And Environment Corporation and DNP Quang Binh WaterInfrastructure Investment Joint Stock Company.
In the above list, there are three companies under the umbrella of DNP holding,formerly known as Dong Nai plastic, namely DNP - Long An Water InfrastructureInvestment Joint-Stock Company, DNP Quang Binh Water Infrastructure InvestmentJoint Stock Company and Chau Thanh Urban Construction Joint Stock Company, withownership rates of 87.98%, 89.9%, and 96.06%, respectively.
Of them, DNP - Long An Water Infrastructure Investment Joint-Stock Company,having a charter capital of 786.29 billion VND, owns Nhi Thanh water plant witha designed capacity of 60,000cu.m per day and night, supplying clean water tomany areas in the southern province of Long An.
DNP holding currently has 15 factories producing plastic and clean water, witha total capacity of plastic products of 8,500 tonnes per month and 700,000cu.mof clean water per day.
Thus, Biwase mainly acquires water supply enterprises in DNP holding'secosystem to expand its operation area towards the southern area.
In 2022, Biwase invested a total of 294 billion VND in purchasing shares of twocompanies, namely Can Tho Water Supply and Sewerage JSC and Can Tho 2 WaterSupply JSC. This move has increased the number of Biwase affiliates in thewater industry to four, with total investment reaching 768 billion VND,accounting for nearly 8% of Biwase’s assets. The company’s M&A plan forthis year shows its ambition to expand its scale through M&As.
With the ambition to become a leading enterprise in the field of water supplyin the South, Biwase continues to acquire companies in the same industry in thesouthern provinces of Long An, Binh Phuoc and Ben Tre.
Dong Nai Water Supply Joint Stock Company plans to purchase 2.5 million sharesof Gia Tan Water Supply Joint Stock Company, at the price of 4,000 VND pershare, with expected time in the first and second quarters of 2023.
As of December 31, 2022, Đồng Nai Water Supply owns 25% of capital in Gia Tan WaterSupply, equivalent to an investment value of 50 billion VND.
The Gia Tan Water Supply was established on November 1, 2016, headquartered in DongNai, mainly operating in the field of exploiting and filtering water for dailylife, urban and industrial purposes, installation of pumping stations, andconstruction of water supply pipelines. The legal representative includesChairman of the Board of Directors Hoang Anh Tuan and General Director NguyenVan Thien.
Notably, Nguyen Van Thien is also the Chairman of the Board of Directors ofBiwase, which owns 31.52% of capital in Gia Tan Water Supply.
The Thu Dau Mot Water Joint Stock Company owns 37.42% of charter capital inBiwase, owns 20.9% of capital at Gia Tan Water Supply and owns 12.06% of Dong NaiWater Supply.
Thus, Thu Dau Mot Water is a cross-owner of many water supply enterprises in DongNai and Binh Duong, through direct or indirect ownership through Biwase. Thu DauMot Water was established in 2013, with the main business being clean waterbusiness, and currently has a charter capital of 200 billion VND.
It can be seen that Biwase's ambition is also Thu Dau Mot’s ambition, which isto dominate the market share of water supply in the southern provinces.
Biwase currently has charter capital of 1.93 trillion VND, equity of 4.53trillion VND, and total assets of 9.99 trillion VND. In 2022, the companyrecorded consolidated revenue of 3.48 trillion VND, consolidated profit aftertax of 742.7 billion VND, equivalent to basic earnings per share of 3,195 VND.
Thu Dau Mot Water currently has a charter capital of 1 trillion VND, equity of 2trillion VND, and total assets of 2.40 trillion VND. In 2022, the companyachieved consolidated revenue of 478.9 billion VND, profit after tax of 220.4billion VND, equivalent to basic earnings per share of 2,028 VND./.
VNA
