In 2025, Novaland (NVL) employees put their own money into the company's shares. A year later, the progress report on how that offering's proceeds were used says where the money went: mostly not into projects, and not kept as working capital, but back out to repay the principal and interest on related-party loans.
The report matters now because NVL shareholders are in the middle of a raise more than 16 times larger, and that one also lists debt repayment as its purpose. How Novaland spent the smaller sum is the closest document we have for guessing where the larger one will go.
What the report says
According to the use-of-proceeds progress report carried by Người Quan Sát on October 10, 2026, Novaland issued 48.75 million shares to employees and raised VND 487.5 billion. The offering closed on October 9, 2025. Divide one figure by the other and each share sold for VND 10,000.Người Quan Sát
The plan approved at the April 24, 2025 shareholder meeting described the use of funds in a single line: topping up business resources and working capital. The new report breaks that line into specific outlays:
- More than VND 438.5 billion, about 89.95% of proceeds, went to repaying related-party loans, covering both principal and interest.
- VND 22.89 billion, about 4.7%, went to salaries and amounts owed to employees.
- More than VND 26.1 billion, about 5.35%, remains unused.Người Quan Sát
In total, more than VND 461.4 billion, about 94.65%, has been spent. Put simply: of every 10 dong employees paid for shares, nearly 9 went to related-party loans, and less than half a dong came back as pay to the employees themselves.
Novaland says the plan did not change
Set the "working capital" line beside "related-party debt repayment" and they look like two different things. Novaland states in the report that it made no change to the use-of-proceeds plan it had announced. It also says it raised no money for any specific project, so the project-progress section does not apply.Người Quan Sát
The two readings are not mutually exclusive. Working capital, broadly defined, is money for a company's short-term obligations, and repaying a loan that has fallen due is one of those. What the report shows is that, within that broad category, Novaland put nearly all of it into one use. This piece does not judge whether that matches the plan. What is worth noting is that a loosely worded plan lets money go in many directions, and shareholders learn the real direction only after the money has moved.
For shareholders, that changes how the offering is measured. The VND 487.5 billion did not add revenue in the period. Its value shows up as debt obligations retired: about VND 438.5 billion of related-party principal and interest is off the books.
What the report does not say
Going by press coverage of the report, there are gaps readers should know about before drawing conclusions.
Who the related party is. The report does not name the lender, nor split the repayment by lender if there were several.
What the loan was originally used for. A related-party loan could be money that helped Novaland through a liquidity squeeze, or it could have served another purpose. With no information on when or why the money was borrowed, there is no way to say how much this repayment helped Novaland compared with spending the money on other obligations.
Interest rate and priority. The report says the outlay covers principal and interest, but gives no rate. Nor do we know why this loan was repaid ahead of the company's other obligations.
The report leaves these questions unanswered, and this article does not speculate about who the related party is. The best place to look for more is the related-party transactions note in Novaland's next financial statements.
The larger raise now under way
Under the schedule Novaland announced on September 21, the company is offering up to nearly 800.7 million shares to existing shareholders at a 3:1 ratio and VND 10,000 per share, expecting to raise nearly VND 8,007 billion. That is more than 16 times the 2025 employee sale.CafeF
Unlike the 2025 offering, this plan is written down to individual bond codes. Per CafeF, VND 5,953.3 billion is earmarked for paying part or all of the principal on 13 bonds issued by Novaland itself, depending on terms agreed with bondholders. Another VND 916.3 billion goes into Nova Saigon Royal Real Estate Investment Co., Ltd. so the subsidiary can repay the principal of bond NSRCH2223001, and VND 1,137.3 billion goes into No Va Thao Dien Co., Ltd. to repay the principal of bond NTDCH2227001.CafeF
These payments are scheduled between Q4 2026 and Q1 2027. Novaland also cautions that the timing and amount of disbursement for each purpose may be adjusted depending on actual conditions and progress in arranging terms with bondholders.CafeF
Side by side, the two raises point the same way: Novaland's new money is going, in turn, to old debt. The difference is that the second names its creditors by bond code. Once the use-of-proceeds report for this offering is published, shareholders will be able to match each outlay against a specific code in the plan. That is a level of transparency the 2025 report did not allow.
What NVL holders see at each milestone
This section describes mechanics only. It takes no view on whether to exercise the rights.
Holders on the October 1 record list already see the rights in their brokerage accounts. The rights can be transferred from October 8 to October 26, 2026, and only once: the recipient cannot pass them on to a third party.Mekong ASEAN
Subscription and payment run from October 8 to October 29. Every 3 rights buy 1 new share at VND 10,000. Entitlements are rounded down to whole shares and fractions are cancelled, and shares bought in this round carry no transfer restriction.
After October 29, shares that shareholders do not subscribe for or pay for will be placed by the board with other investors, on terms no more favorable than those for existing shareholders and at a price no lower than VND 10,000. Shares placed this way are locked up for one year.VNFinance
If the offering is fully placed, shares outstanding rise from more than 2.402 billion to about 3.203 billion, and charter capital from more than VND 24,020 billion to about VND 32,028 billion. Working from those two figures, a shareholder who does not subscribe would hold about three quarters of their previous ownership stake.VNFinance
Signals to watch
The nearest date is October 29, when the payment window closes. The offering results report that follows will show how much Novaland actually raised out of the roughly VND 8,007 billion planned, and how many shares had to be passed to other investors.
The document most worth reading closely comes later: the use-of-proceeds report for this offering, covering Q4 2026 to Q1 2027. This time the plan names 13 bonds at the parent company and two at its subsidiaries, so each line of spending can be checked against a specific code. If the money goes to those codes, shareholders will know exactly which obligations their money retired. If an outlay appears that ties to no code, that is the place to ask questions.
For the 2025 offering, more than VND 26.1 billion is still unspent. The next progress report will show where that last piece of money went.