The delisting of FLC Group will go into effect on Monday from Vietnam’s main stock market for violating disclosure requirements.
Bamboo Airways is Vietnam’s third-largest airline and one of its biggest shareholders is a young conglomerate called FLC, whose portfolio is mainly in real estate. The Ho Chi Minh Stock Exchange’s decision to delist FLC will affect 80,000 investors who hold around 710 million shares in the company.
Since FLC hasn’t yet submitted its audited financial statements for 2021, it has been unable to hold a shareholder’s meeting as well.
In March 2022, authorities from Vietnam cracked down and arrested the founder of FLC and its then-Chairman on charges of stock manipulation. Soon after, the police also arrested some of Quyet’s family members who held positions as officers in the group.
This was due to the country’s recent anti-corruption campaign led by its Communist Party that led to the arrest of chairs of property developers Van Thinh Phat Group and Tan Hoang Minh Group. Real Estate businesses have now been avoiding any major fundraising efforts to avoid being targeted by the government.
Even though it would be delisted from next week onwards, FLC’s share could be still traded on Hanoi’s Unlisted Public Company Market (UPCoM) provided it fulfills certain conditions.
