Over 900,000 shares of Apax Holdings have been forced sold by stock brokerages after hitting the floor 16 sessions in a row.
Apax Holdings chairman Nguyen Ngoc Thuy, also known as Shark Thuy, said that 113,000 of his IBC shares were forced sold by Bao Viet Securities last week, according to a filing to the Ho Chi Minh Stock Exchange.
This reduced his ownership in the company from 8.05% to 7.91%.
In the last two weeks Bao Viet Securities and Mirae Asset Securities also forced sold 788,700 IBC shares owned by Apax Holdings’ parent company Egroup.
Egroup has seen its ownership in Apax Holdings reduced from 59.76% to 58.81% as a result.
A brokerage typically requires shares to be sold if it issues a margin call and the investor is unable to come up with the money.
Apax Holdings has seen its IBC shares plunging since November 11 as the company has been accused of delaying salary payments and of failing to uphold high quality.
In the last five weeks share prices has fallen by 83%.
Thuy said that a cash shortage caused by the impact of Covid-19 has put the company in crisis.
He said he would lead the business to recovery but that he will need around three years to accomplish this.
