VietNam Business: Vietinbank

Showing posts with label Vietinbank. Show all posts

Monday, February 21, 2011

Vietinbank begins works on Hanoi tower project

An artist's impression of Vietinbank Tower project in the capital city’s Ciputra urban area in Tay Ho District

Photo: Photo courtesy of Vietinbank

The Vietnam Commercial Joint Stock Bank for Industry and Trade, better known as Vietinbank, today began work on the US$400 million Vietinbank Tower project in the capital city’s Ciputra urban area in Tay Ho District.

The tower complex, which is expected to be completed early in 2014, will include a 68-floor tower which will be used as the bank’s head office and lease office spaces and a 48-floor tower which will house for a hotel, condos for lease, and a trade center.

It is designed by the London-based architects Foster & Partners and supervised by the US-based firm Turner. The building is designed with environmentally-friendly features and modern technologies that are expected to save at least 35 percent of energy compared with typical buildings.

The Vietinbank Tower is the first project of Foster & Partners in Vietnam.

The tower and the Ho Chi Minh City-based Bitexco Financial Tower are ranked second in existing building’s height after the 70-story Keangnam complex in Hanoi, according to newswire Vnexpress.

Friday, January 28, 2011

VietinBank sells 10% stake to IFC

HCMC – Vietnam Bank for Industry and Trade, or VietinBank, on Sunday evening inked a cooperation deal with International Finance Corporation (IFC) including the sale of a 10% stake to the foreign institution at the value of US$190 million.

Pham Huy Hung, chairman of VietinBank, confirmed the information above with the Daily via the phone on Sunday.

In addition, the deal also includes a loan worth US$110 million from IFC to VietinBank with a term of ten years and interest rate equivalent to the Libor rate plus 1.5 percentage points a year, said Hung. After the stake transfer, the chartered capital of VietinBank will increase to VND21 trillion, or some US$1.05 billion, he added.

As of late June, the bank got approval from the State Securities Commission to issue 392 million shares, including 76.9 million shares to pay dividend existing shareholders and 315.1 million shares sold to shareholders.

Hung also told the Daily that by the end of this year, VietinBank will also sell another 15% stake to Canada-based Bank of Nova Scotia, bringing its chartered capital to about VND26 trillion.

VietinBank is the second State-owned bank of Vietnam going public after Vietcombank. It completed the initial public offering in July last year and then listed on the Hochiminh Stock Exchange under the code of CTG. The bank shares were traded at VND18,700 each last Friday, compared to VND40,100 each on the first trading day on July 16 last year.

In the first half of this year, VietinBank obtained nearly VND2.2 trillion in pre-tax profits.

VietinBank sells 10% stake to IFC

Pham Huy Hung, chairman of VietinBank, confirmed the information above with the Daily via the phone on Sunday.

Hung also told the Daily that by the end of this year, VietinBank will also sell another 15% stake to Canada-based Bank of Nova Scotia, bringing its chartered capital to about VND26 trillion.

In the first half of this year, VietinBank obtained nearly VND2.2 trillion in pre-tax profits.

Wednesday, January 26, 2011

IFC to buy 10 percent stake in Vietinbank for 190 mln USD

Vietinbank on Oct.10 agreed to sell a 10-percent stake in the firm to
International Finance Corporation (IFC) for 190 million USD. The deal
makes Vietinbank the first partly equitised State-owned bank to become
part-owned by a foreign strategic investor. It made its initial public
offering 22 months ago.

The price was set by the Government, the Ministry of Finance and the State Bank of Vietnam.

IFC will support Vietinbank with technologies, international business development and management.

Vietnam's largest partly-private lender announced on Oct. 10 its total
assets at the end of August had risen nearly 30 percent from the end of
2009 to 320 trillion VND (16.41 billion USD).

In
the first eight months of this year, the Hanoi-based lender raised more
than 290 trillion VND in deposits and lent 199.5 trillion VND. Its bad
debt stood at 1.05 percent of all loans, below an annual target of 2.5
percent for 2010.

The bank plans to pay a dividend
of 20 percent of its shares' face value of 10,000 VND for 2010, higher
than its initial target of around 15 percent, the statement said,
without giving profit figures for the eight-month period.

Vietinbank expects to increase its charter capital to 23 trillion VND
(1.18 billion USD) by the end of the year, and the figure is slated to
reach 35 trillion VND (1.8 billion USD) next year.

"By helping Vietinbank build up its capacity and strengthen its products
and services, IFC will assist the bank in reaching more small – and
medium-sized enterprises through its nationwide network," said Simon
Andrews, IFC regional manager for Vietnam, Cambodia, Laos, and Thailand.

"The proposed engagement will help Vietinbank
further develop as a leading SME and underlines IFC's support for the
Government's equitisation programme in the financial and banking
sectors."

The Hanoi-based bank also plans to sell a
stake of 15 percent to Canada's Bank of Nova Scotia to raise its
registered capital by 35 percent to 15.1 trillion VND. The deal is
expected to be finalised in December.

Shares of Vietinbank (coded CTG on the HCM Stock Exchange) closed at 18,700 VND per share on Oct.8.

Vietinbank went public in December 2007, becoming the first State-owned bank to do so.

However, it has struggled to find a foreign strategic investor./.

Tuesday, January 25, 2011

IFC to buy 10% stake in Vietinbank for $190 million

HA NOI — Vietinbank agreed yesterday to sell a 10-per-cent stake in the firm to International Finance Corporation (IFC) for US$190 million. The deal makes Vietinbank the first partly equitised State-owned bank to become part-owned by a foreign strategic investor. It made its initial public offering 22 months ago.

The price was set by the Government, the Ministry of Finance and the State Bank of Viet Nam.

IFC will support Vietinbank with technologies, international business development and management.

Viet Nam's largest partly-private lender announced yesterday its total assets at the end of August had risen nearly 30 per cent from the end of 2009 to VND320 trillion ($16.41 billion).

In the first eight months of this year, the Ha Noi-based lender raised more than VND290 trillion in deposits and lent VND199.5 trillion. Its bad debt stood at 1.05 per cent of all loans, below an annual target of 2.5 per cent for 2010.

The bank plans to pay a dividend of 20 per cent of its shares' face value of VND10,000 for 2010, higher than its initial target of around 15 per cent, the statement said, without giving profit figures for the eight-month period.

Vietinbank expects to increase its charter capital to VND23 trillion ($1.18 billion) by the end of the year, and the figure is slated to reach VND35 trillion ($1.8 billion) next year.

"By helping Vietinbank build up its capacity and strengthen its products and services, IFC will assist the bank in reaching more small – and medium-sized enterprises through its nationwide network," said Simon Andrews, IFC regional manager for Viet Nam, Cambodia, Laos, and Thailand.

"The proposed engagement will help Vietinbank further develop as a leading SME and underlines IFC's support for the Government's equitisation programme in the financial and banking sectors."

The Ha Noi-based bank also plans to sell a stake of 15 per cent to Canada's Bank of Nova Scotia to raise its registered capital by 35 per cent to VND15.1 trillion. The deal is expected to be finalised in December.

Shares of Vietinbank (coded CTG on the HCM City Stock Exchange) closed last Friday at VND18,700 per share.

Vietinbank went public in December 2007, becoming the first State-owned bank to do so.

However, it has struggled to find a foreign strategic investor. — VNS

Monday, September 27, 2010

IFC to buy 10 percent stake in Vietinbank

Photo: Tuoi Tre

Vietinbank would sell a 10-percent stake to International Finance Corp (IFC) in October for US$190 million, Vietinbank chairman Pham Huy Hung said last week.

The price was set by the Government, the Ministry of Finance and the State Bank of Vietnam.

When the deal is finalized, Vietinbank will be the first partly-equitized State-owned bank to have obtained a foreign strategic investor within 20 months of its initial public offering (IPO).

Vietcombank was the first State-owned bank to go public in December 2007, but it has been struggling since to land a foreign strategic investor.

IFC, a financial arm of the World Bank, also agreed to lend $120 million o Vietinbank over 10 years at six-month LIBOR (London Interbank Offered Rate) plus a fixed margin of 1.5 percent.

Vietinbank also expects to sell another 10-20 percent to Canada's Nova Scotia Bank which will meet with Government representatives next month with the aim to finalize the Vietinbank deal in December.

Vietinbank is also planning to issue 392 million additional shares next month, of which 315.1 million will be offered to existing shareholders and the remaining 76.9 million issued to them as a dividend. The deadline for shareholders to register for participation is September 8.

Shares of Vietinbank (coded CTG on the HCM Stock Exchange) closed up 3.3 percent on Monday to VND22,200 per share.

In the first six months of the year, the Hanoi-based bank reported earnings of VND5.3 trillion ($273 million), of which revenues from business activities accounted for VND659 billion, forex services VND24.16 billion ($1.23 million), and other sources of revenue VND168.7 billion ($8.65 million).

After deducting VND813 billion ($41.69 million) risk provision, the bank posted a net profit in the first half of VND1.6 trillion ($83 million).

Vietinbank expects to increase its charter capital to VND23 trillion ($1.18 billion) by the end of the year, and the figure is slated to reach VND35 trillion ($1.8 billion) next year.

IFC to buy 10 percent stake in Vietinbank