Stuck with nearly 600 billion VND at Novaland, SMC selling assets to repay debts while facing tax recovery of 26 billion, How can the steel tycoon recover?

SMC Investment and Trade Joint Stock Company is facing financial turmoil after the Ho Chi Minh City Tax Department imposed a penalty of over 26 billion VND due to tax declaration errors from 2022 to 2024. This comes as SMC attempts to liquidate and release assets, such as stocks and deposits, to settle debts with banks. In the first half of 2025, SMC reported a loss of 102.3 billion VND, bringing its cumulative losses to 241.94 billion VND, while total debt has surpassed 2.3 trillion VND, far exceeding its equity. SMC struggles with the collection of receivables from the Novaland group, escalating financial pressure and necessitating increased provisions. The company’s recovery hinges on the liquidation of assets and the real estate market’s performance.