Rang Dong Plastic, an “icon” in Vietnam’s plastic industry, is experiencing a major crisis after losing a lawsuit against a foreign partner. In 2023, the company was forced to pay nearly 157 billion VND to Sojitz Planet Corporation (Japan) due to contract violations. The aftermath of this lawsuit led to Rang Dong losing 147 billion VND in the 2023 fiscal year. By mid-2024, the company had accumulated losses of 266 billion VND and owed banks nearly 1.372 trillion VND.
Additionally, all five board members, including Chairman Ho Duc Lam, resigned, creating considerable instability in management. The company’s RDP shares were suspended from trading due to violations of information disclosure regulations, plummeting from 30,000 VND to only 1,310 VND. Although Rang Dong has planned to issue 30 million shares privately to repay debts, the business situation still shows no signs of recovery, casting doubt on the company’s future.
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