Want to be in the loop?
subscribe to
our notification
Business News
BANKS RAISE FOREIGN OWNERSHIP RATIO TO IMPROVE FINANCIAL STRENGTH
Vietnamese banks have been increasing their foreign ownership ratios to attract investment and improve financial strength.
According to Military Bank (MB), the Vietnam Securities Depository (VSD) had adjusted the foreign ownership ratio of MB shares from 22.9908 per cent to 23.0224 per cent on November 9, baodautu.vn reported.
The move was made after MB issued nearly 362 million shares to pay dividends in 2019 to increase its charter capital to nearly VNĐ27.98 trillion (US$1.2 billion).
Among its foreign shareholders, Dragon Capital funds Norges Bank and Amersham Industries Ltd are now the largest with ownership rates of 1.68 per cent and 1.44 per cent, respectively, as of June 25.
In addition, MB also plans to divide 25.6 million treasury shares with its existing shareholders from Q4 2020 to the end of Q1 2021.
Earlier, the board of directors of Techcombank approved to raise the bank’s foreign ownership limit from 22.4951 per cent to 22.5076 per cent of its charter capital.
Lienvietpostbank has also increased the ownership ratio of foreign investors from 5.5 per cent to nearly 10 per cent.
Meanwhile, VietCapitalBank will consult the bank’s general meeting of shareholders to authorise the board of directors to decide a new foreign ownership ratio.
Nam A Bank said it planned to sell shares to foreign investors from now to the end of this year to increase charter capital to nearly VNĐ7 trillion through the issue of 57 million shares to pay dividends at a rate of 12.4878 per cent and a private placement of 143 million shares. The bank said it was in the process of negotiating with foreign investors.
In mid-2020, the market also recorded the sale of 15 per cent shares of OCB Bank to Japanese’s Aozora Bank, raising the Vietnamese bank’s charter capital from VNĐ7.89 trillion to VNĐ8.76 trillion.
Việt Nam’s finance and banking is still attracting foreign investors, but experts said the low ownership ratio of 30 per cent capped for foreign investors was a barrier.
Source: VNS
Related News
VIETNAM EYES 8% GDP GROWTH IN 2025
The State Bank of Vietnam (SBV) has been tasked with closely monitoring global and regional economic developments and adjusting monetary policies to align with shifts in major economies. The directive emphasizes reducing lending rates, managing deposit rates at commercial banks, and ensuring credit flows remain uninterrupted in early 2025.
GOVERNMENT MEMBER FOR 2021-2026 TERM
The 2021-2026 government term was recently consolidated after the 8th session of the 15th National Assembly. It consists of 27 members, including the Prime Minister, five Deputy Prime Ministers, and 21 ministers and heads of ministerial-level agencies.
EXCLUSIVE OFFER FOR HKBAV MEMBERS
Minimum order: 1 box (10 gift boxes per box; 6 gift bags per box)Free shipping on orders over 2 million VND (nationwide delivery across Vietnam)Volume discounts available for large orders
TOTAL FDI REGISTERED IN VIETNAM HITS 31.4 BILLION USD IN JANUARY-NOVEMBER
As of November 30, 2024, the total newly registered capital, adjusted capital, and capital contributions or share purchases by foreign investors in Vietnam reached nearly 31.4 billion USD, up 1% increase compared to the same period last year.
QUANG TRI TARGETS 6,000 MW WIND POWER CAPACITY BOOST
The central province of Quang Tri is seeking the Government’s approval to expand its wind power capacity by an additional 1,500-2,000 MW for onshore projects and 2,600-4,000 MW for offshore projects, according to the Vietnam News Agency.
CONFERENCE EXAMINES PROSPECTS FOR DIFFERENT INVESTMENT CHANNELS IN 2025
Experts shed light on the factors shaping different investment channels in 2025, from real estate to stocks and cryptocurrency, at the second panel discussion at VIR's conference "Investing 2025: Decoding Variables - Embracing Opportunities" on December 12.