Hanoi (VNS/VNA) – The Hanoi People’s Committee will auction their entire stake in Thuong Dinh Footwear Joint Stock Company (GTD), marking a full divestment from one of Vietnam’s oldest shoemakers, according to a filing to the Hanoi Stock Exchange (HNX).
The city’s authority will offload more than 6.38 million shares, equivalent to 68.67% of the company’s charter capital. The reserve price is set at 20,500 VND (0.80 USD) per share. If fully sold, Hanoi could collect at least 130.9 billion VND.
The auction is scheduled for the morning of December 16 and is open to domestic and foreign institutional and individual investors.
GTD shares have soared nearly 50% in three trading days following news of Hanoi’s plan to divest. The stock hit the daily upper limit for three consecutive sessions and closed at 17,300 VND on November 21, pushing the company’s market capitalisation to about 160 billion VND.
Despite the sharp rally, GTD remains 32% below its late-September peak. The stock has also been under trading warning status after receiving qualified audit opinions for more than three consecutive years.
Once-iconic brand struggles amidst long decline
Founded in 1957 as military workshop X30, Thuong Dinh Footwear was once a household name in northern Vietnam, exporting canvas shoes to Eastern Europe and the EU from the mid-1980s. Its green-striped canvas shoes dominated the domestic market in the early 1990s.
The company holds a prime 3.6-hectare land plot at 277 Nguyen Trai Street in Phuong Liet ward, which is slated for relocation and redevelopment under the city’s plans.
But the brand has been in long decline as competitors such as Biti’s, Nike and Adidas expanded in Vietnam. Outdated production lines, weak design competitiveness and falling demand have eroded its market share.
The company was equitised in 2016 and listed 9.3 million shares on UPCoM with the sticker GTD. However, its financial performance has remained weak, with losses recorded in most of the past decade.
The firm posted net revenue of 78.8 billion VND in 2024, down 2% year-on-year, and a net loss of nearly 13 billion VND – almost triple that of 2023. Accumulated losses rose to more than 67 billion VND by end-2024.
Short-term liabilities now exceed short-term assets, and auditors have repeatedly raised doubts over the company’s ability to continue operations.
GTD ended 2024 with total assets slipping to just over 120 billion VND, while liabilities climbed to 94 billion VND. Domestic sales fell 14.5% despite new online channels, and export orders remained unstable. In 2025, the company plans to raise output to as much as 900,000 pairs and targets 100 billion VND in revenue, aiming to return to break-even./.
Over 1 billion USD mobilised through G-bond auctions at HNX in October
The Hanoi Stock Exchange (HNX) has announced that it held 20 government bond auctions in October, raising 27.74 trillion VND (1.05 billion USD).
