Flash note: IJC – NOT RATED

Becamex Infrastructure Development JSC (IJC VN)

On 03/10/2025, Becamex Infrastructure Development JSC (HOSE: IJC) held its site visit with the following highlights:

1. Business Performance: As of 1H2025, IJC only achieved 16% of its revenue target and 33% of its 2025 net profit plan. Despite the slow start, the management remains confident in meeting the full-year guidance, supported by expected revenue recognition from key projects including Sunflower II Villas, Hoa Loi Residential Area, and Hoa Loi Resettlement Area.
2. Land Bank Update: As of September 30, 2025, IJC owns a clean land bank of approximately 56 hectares, primarily located in Hoa Phu Ward, Thoi Hoa Ward, and Bau Bang Commune. This strategic land reserve provides a solid foundation for future project development.
3. Capital raising plan: IJC is conducting a rights offering of 251.8 mn shares (equivalent to 67% of outstanding shares) to existing shareholders at a ratio of 3:2, with an offering price of VND10,000 per share — a 26.5% discount to the closing price on October 3, 2025 (record date: September 17, 2025). The issuance is expected to raise approximately VND2,518.3 bn during 2025–2026. Upon successful issuance, the company’s charter capital will increase from VND3,777 bn to VND6,295 bn. The proceeds will be allocated for investments in BOT projects National Route 13, real estate developments, the HCMC – Thu Dau Mot – Chon Thanh expressway, equity contributions to Becamex – Binh Phuoc Infrastructure Development JSC, and repayment of principal and loan interest.

Quick comment: We believe that IJC exhibits considerable growth potential which is supported by its clean land bank of over 56 hectares in Binh Duong (old) and synergies from the parent company Becamex IDC (HOSE: BCM) ecosystem. The real estate market in Binh Duong New City is expected to gain further momentum following its planned administrative merger with Ho Chi Minh City and ongoing infrastructure connectivity improvements linking HCMC with neighboring provinces. IJC’s active participation in major infrastructure projects — including National Highway 13 expansion, HCMC Ring Road 4 (Thu Bien Bridge – Saigon River segment), and the HCMC – Thu Dau Mot – Chon Thanh Expressway — is expected to generate long-term recurring income. Additionally, investments in Becamex Binh Phuoc and new BOT projects should provide steady cash flows and reinforce IJC’s sustainable growth outlook in the coming years.