All personnel in Sabeco’s Board have been replaced with “blood”. Along with that, the parent-subsidiary company’s business strategy has also been changed.
In May, Saigon Beer – Alcohol – Beverage Joint Stock Corporation (Sabeco, stock code SAB) was bought by Thai billionaire Charoen Sirivadhanabhakdi through Vietnam Beverage – a subsidiary of Thai Beverage. The company has paid out approximately USD 5 billion for a 53.59% Sabeco stake to formally become the dominant shareholder in the business.
Replace the “blood” of company management
Four months after becoming the dominant shareholder in Sabeco, the Thai billionaire has appointed his people to the company’s top management. Accordingly, Vietnam Beverage has nominated and approved the election of three additional members to Sabeco’s Board of Directors including Mr. Tan Tiang Hing, Malcolm (Malaysian nationality), Mr. Koh Poh Tiong (Singapore) and Sunyaluck Chaiajornwat (Thailand). from the corporation of Thai boss.
In particular, Mr. Koh Poh Tiong is currently the Chairman of Thaibev / F & N Bear Group, which owns 49% of the parent company of Vietnam Beverage Co., Ltd. After that, Mr. Koh Poh Tiong was also officially elected as Sabeco’s chairman, replacing Mr. Vo Thanh Ha in April.
However, as of July 20, Tan Tiang Hing, Malcolm and Sunyaluck Chaiajornwat no longer held the position of Board Members at Sabeco.
Shortly thereafter, the Thai billionaire continued to appoint a series of senior personnel to the company’s board of directors including Mr. Neo Gim Siong Bennett as Deputy General Director. During this appointment, there was also Mr. Teo Hong Keng, Deputy General Director in charge of accounting, finance and support functions; Mr. Melvyn Ng Huan Ngee, Deputy General Director in charge of sales.
On August 1, Mr. Bennett officially replaced Mr. Nguyen Thanh Nam to become General Director at this enterprise.
Recently, Sabeco elected two more independent members of the Board of Directors and established an audit committee. One of the two independent Board members of this company is him Nguyen Tien Vy, Vice President of Vietnam Beer Association. He also held the position of Chief of Office of the Ministry of Industry before and Ministry of Industry and Trade from 2007-2011. The other is Mr. Pramoad Phornprapha, representative from ThaiBev.
The composition of the audit committee has not been announced by this business, but according to the company’s charter, the majority of members must be independent and not involved in the administration.
Since being bought by the Thais, the board of directors including the Board of Directors, the Board of Directors and the Supervisory Board at Sabeco have changed a lot. Notably, it is the “blood” change of almost the entire Board of Directors and Board of Management in the previous period.
The previous Board of Directors consisted of only 3 employees, Mr. Nguyen Thanh Nam, Le Hong Xanh and Nguyen Minh An, were changed to 4 personnel in the presence of Thai billionaire employees such as Mr. Neo Gim Siong Bennett. , general manager.
Plan to reduce profits, “revive” Xa Sanh Chuong Duong
Sabeco is the second State-owned enterprise of Vietnam, after Vinamilk, adopting an independent member of the Board of Directors and the company’s audit committee since the current corporate law took effect in 2014.
After taking control of Sabeco, the management of Thai billionaire also plans to reduce 19% of profit after tax this year, only about VND 4,007 billion compared to VND 4,949 billion in the previous year. This is also the third year that Sabeco’s profits have been going down since 2016. However, the shareholding ratio remains at 35%.
The above plan is set in the context of declining beer consumption. This year, the company expects a growth rate of 5%, accompanied by a special consumption tax increase of 5% since the beginning of the year.
In fact, after half a year of business, Sabeco earned 9,170 billion dong of net revenue, up 12% YoY, but the soaring cost price makes the company’s gross profit is only 7,073 billion dong. Gross profit margin has decreased to 22.8%, significantly lower than the level of 26.5% in the same period. The company’s after-tax profit after 6 months is 2,447 billion dong, down slightly from the same period.
However, Thais have given Sabeco the opportunity to appear in major international sporting events such as the English Premier League. Accordingly, the Saigon Beer logo was printed on the shoulders of the Leicester City club under a cooperation agreement between the company and the owner of this football club. In addition, under the support of Thailand’s richest billionaire, the company also has a huge financial potential.
Not only changing the board of the parent company, Sabeco is also planning to revive the “king” of Chuong Duong “by appointing Mr. Neo Gim Siong Bennett as the Chairman of Chuong Duong Beverage Joint Stock Company. (stock code SCD). Currently, Sabeco is the largest shareholder holding more than 62% stake in this business. This is considered a step change of Sabeco to focus on Chuong Duong to revive the famous beverage brand for a while.
* Source: zing News