Novagroup continues to sell Novaland shares to pay debts

Novagroup has registered to sell 2.2 million NVL shares by Jan. 10, a deal that will fetch it around VND37.3 billion ($1.53 million).

The transaction will bring down its ownership in the company to 19.49%, but it will remain the biggest shareholder.

Bui Thanh Nhon, a property tycoon who in the past made it to the Forbes list of global billionaires, is the chairman of both companies.

Another company affiliated with Nhon, Diamond Properties, has registered to sell nearly 4.8 million NVL shares by Jan 9. It could raise VND80 billion.

Novgaroup has sold 20.3 million NVL shares since last month. The share has traded at an average of VND17,300 during the period, meaning Novagroup is likely to have raised VND351 billion.

If the deals go through Novagroup and Diamond Properties are likely to raise VND468 billion.

NVL jumped by 31% since November to VND18,700 but now trades at around VND17,000.