Nam Long carrying out new plans in 2023

After topping out Flora Mizuki MP9, 10 and Flora Panorama, 2 component projects of Mizuki Park Integrated township (HCMC) earlier this year, Nam Long is moving on with new plans in 2023.

Natural living environment in Mizuki Park integrated township

Keeping up with handover plan, topping out projects on schedule

After handing over apartment complexes Flora Mizuki MP6-7-8 3 months ahead of time at the end of last year, Nam Long Investment Joint Stock Company (HoSE: NLG) started topping-out of a series of apartments in January this year, including Flora Mizuki MP9-10 after nearly 1 year of construction and Flora Panorama after 9 months of construction. These are all component projects of Mizuki Park (Binh Chanh), one of Nam Long’s key integrated township projects according to international standards.

Of the 26-hectare total area, 29% is used for construction and the rest is for facilities and nature. Up to now, thousands of townhouses and apartments have been handed over, forming a community of more than 12,000 residents.

The sequence of topping out and handing over projects is a positive move to keep the market warm amid many challenges. Having a clean land fund of 681 ha in developing localities, the partnership with international companies in finance, management and system transformation and 30 years of experience, Nam Long has plans to actively adapt to changes in the market.

The Group continues to conquer new milestones and maintain its existing project development plans. In 2023-2024, the company expects to supply thousands of affordable housing products for customers with real demand in Ho Chi Minh City and other provinces such as Long An, Dong Nai, Can Tho…

Indeed, Nam Long plans to hand over ongoing projects such as Mizuki Park, Akari City (HCMC), Waterpoint (Long An)...

In Akari City, the construction of the 4th floor in phase 2 is timely carried out under the participation and supervision of leading companies in construction and real estate such as: Ricons, Bulter Associates (Australia - planning consultant), Beltcollins (Hong Kong - landscape consultant)...

In Waterpoint integrated township, the progress of component projects is also on schedule, including Aquaria subdivision, EHome Southgate phase 2 (topped out), EHome Southgate phase 3 (under construction). At the same time, the construction of facilities and services is also finishing up such as EMASI Plus International Bilingual Boarding School which is under construction, expected to open in August 2023, completing the13-km walking trail and 8-km cycling route.

Waterpoint integrated township has an expensive riverside location 

In Q1/2023, Nam Long completed the topping out of low-rise buildings in phase 1A1 of the Izumi City Integrated township project (trade name Dong Nai Waterfront) on schedule. Nam Long will introduce a new subdivision Izumi Riverside in the coming time.

One of the main forces helping Nam Log overcome challenges in the market is the focus on affordable products in each segment, which has a real demand. Their 3 main product lines, EHome, Flora, Valora, have a sustainable market and always receive great support from banks.

At the same time, Nam Long joint ventures with international investors in project development, proactively raising capital, reducing financial pressure for homebuyers... In the vision to 2030, Nam Long aims to become the leading and innovative integrated real estate group in Vietnam and the region, under advice from the world's leading units in strategy and operations McKinsey.

Stable cash flow, legal bonds

To be able to swim against the current, Nam Long has maintained transparency in the financial picture, ensuring continuous and sustainable operation. Instead of borrowing with high interest rates, Nam Long chose to cooperate with Japanese partners at the project level and mobilize capital from foreign organizations with reasonable interest rates.

Instead of losing the balance between short and long-term debt, Nam Long balances these indicators, without putting itself under short-term payment pressure. Instead of depending on a number of fixed sources such as banks, bonds, Nam Long expands international relationships to mobilize resources from partners, investment funds... To do that, Nam Long must ensure the strict criteria of foreign partners in terms of governance, project development, and transparency in capital structure and operation.

In the last days of 2022, Nam Long received an additional VND 500 billion from IFC, completing a loan of VND 1,000 billion with a term of 7 years, with a fixed interest rate of VND 500 billion. In addition, the company also raised money from selling 50% of shares of Paragon Dai Phuoc project (Dong Nai) and signed a construction loan limit of VND 530 billion from Standard Chartered Vietnam to develop the Izumi City project (Dong Nai), at an interest rate 10.2%/year, term of 3.5 years.

Nam Long's debt has been kept at a safe level. At the end of 2022, financial debt is VND 5,179 billion while cash and cash equivalents are VND 4,760 billion. Debt/equity ratio is low and safe, only 0.5 times.

Nam Long's bonds have long maturities. Since 2018, the company has issued 5 rounds, totaling  VND 2,610 billion. The bonds comply with current regulations, were used for the right purposes and publicly disclosed. Bonds have medium to long term maturities, fixed and floating interest rates, but are always at the low end of the industry. Nam Long said the company has no intention to buy back the issued bonds before maturity.

VNDirect’s recent report said that the real estate industry would still encounter challenges in 2023. However, investors should put their attention to quality businesses that have large land funds, strong products and finance. Nam Long is highly valued by VNDirect for meeting the above criteria.

Source: saigondautu.com.vn