Former billionaire Novaland chairman Bui Thanh Nhon’s net worth plummets 92%

This week his son registered to sell three million shares of Novaland as his family members continue their selling of stakes which began four years ago when the company’s financial downturn began.

Novaland chairman Bui Thanh Nhon seen at an event in Thu Duc City in October 2022. Photo by VnExpress/Quynh Tran

Nhon and his family used to own over 61% of Novaland as of 2021-end, which put their then net worth at VND108 trillion.

The following year he was in Forbes’ global billionaire list with a $2.9 billion net worth, which ranked him fifth in Vietnam and 1,053rd globally.

But Novaland shares hit the floor price for 17 sessions in a row in November 2022 as investors were concerned about the company’s ability to service its debts.

Nhon and his family reduced their ownership to almost 52% by the end of the year, and to 41% the following year.

Novaland executives assured at the time that Nhon’s divestment was not meant to abandon the company but only to help pay debts.

Some of the share sales were forced due to commitments to bond investors, they added.

"Bui Thanh Nhon now manages Novaland directly, tackling challenges head-on," CEO Duong Van Bac had said last year.

But shareholders linked to Nhon continued to dump the company’s shares last year and he now controls less than 39% of the company.

At current prices that is worth VND8.4 trillion, down 92% from the 2021 peak.

The share hit its all-time low earlier this year, but has recovered 28% after the company announced that three of its projects have received licenses and over 3,000 apartments would be handed over to buyers this year.

Most stock analysts, though confirming that Novaland is benefiting from the new unit launches, have yet to advise shareholders to buy more and also do not provide forecasts on future prices.