Hoang Anh Gia Lai Group (HOSE: HAG) has delisted 90 million USD in its international bonds from the Singapore Exchange (Stock Trading) to reduce costs.

HAG was the first company in Vietnam to have its bonds listed on an overseas exchange, and the withdrawal may give a negative impression to international investors.

According to a recent announcement by HAG, the delisting would help save the listing maintenance fee.

The number of the bond-holders was small as well as the number of bond-trading deals.

The five-year bonds were issued on May 20 last year and listed on SGX-ST on May 23, with an annual interest rate of 9.875 percent.

In March, HAG was downgraded to "negative" from previously "stable" by rating firm Fitch because of its real-estate products in stock that were worth 3.5 trillion VND (166.6 million USD) at the end of 2011, thus facing a credit risk.

The company said it had 313 billion VND (14.9 million USD) from issuing 10 million shares for its hydro-power business, and receivables of 560 billion VND (26.6 million USD) in the third quarter from a property-project sale, and receivables from apartment sales on installments.

According to the company, its liquidity would be ensured as a new hydropower project, the Ba Thuoc 2, will begin production at the end of this month.

In addition, its sugar plant and first rubber crop in Laos , together with its 2.2 trillion VND (as of June), will contribute to liquidity.

On August 17, HAG issued 850 billion VND (40.4 million USD) in domestic bonds, with three-year terms.-VNA