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
![Card image cap](/uploads/news/bn-01.jpg)
VIETNAM INTENSIFIES E-COMMERCE TAX SCRUTINY
The department plans to offer guidance for and hold direct dialogues with e-commerce taxpayers to ensure compliance. Efforts will also include updating the e-commerce database, conducting risk analysis, and leveraging artificial intelligence (AI) to manage data and issue alerts.
![Card image cap](/uploads/news/eco2.jpg)
FOOTWEAR EXPORTS SEEN REACHING US$27 BILLION THIS YEAR
This optimistic forecast reflects the industry’s efforts to expand and diversify its markets. Lefaso indicated that Vietnam’s footwear sector will concentrate on traditional markets like the U.S. and the European Union, alongside markets with free trade agreements to maximize opportunities.
![Card image cap](/uploads/news/Security.jpg)
2025 PIVOTAL FOR STOCK MARKET UPGRADE EFFORT
The Ministry of Finance (MoF) is expected to soon publish the entire content of the draft circular amending and supplementing four circulars on transactions, registration, depository, and clearing, as well as operations of securities companies and information disclosure. This move, along with feedback and explanations, aims to meet the criteria for upgrading Vietnam’s stock market.
![Card image cap](/uploads/news/Eco3%20%281%29.jpg)
CAPITAL FLOWS STRONGLY INTO INDUSTRIAL REAL ESTATE
Industrial real estate has had easier access to bank credit since July, when the State Bank of Vietnam (SBV) reduced the credit risk coefficient for industrial real estate from 200 per cent to 160 per cent, encouraging commercial banks to lend to more projects in the segment.
![Card image cap](/uploads/news/Eco4.jpg)
GDP GROWTH REACHES 6.42 PC IN FIRST HALF
Vietnam's economy grew by 6.42 pc in the first six months of 2024, slightly lower than the figure of 6.58 pc in the same time of 2022 within the 2020-2024 period.
![Card image cap](/uploads/news/FDI.jpg)
FDI INFLOW INTO VIETNAM REACHES NEARLY 15.2 BILLION USD
Vietnam attracted nearly 15.2 billion USD in foreign direct investment (FDI) in the first six months of this year, a year-on-year increase of 13.1 per cent, according to the General Statistics Office.