BIDV plans to increase charter capital by over 360 million USD

Transactions at BIDV (Photo: VNA)

Hanoi (VNA) – The Bank for Investment and Development of Vietnam (BIDV) plans to increase its charter capital by 8.304 trillion VND (361 million USD) to 48.5 trillion VND, up 20.6 percent against that on December 31, 2020.

The plan is expected to be submitted for approval at the bank’s general shareholders’ meeting 2021 on March 12 in Hanoi.

The plan includes the issuance of 207.3 million shares to pay for dividends in 2019 (5.2 percent), and 281.5 million shares to pay for dividends in 2020 (7 percent). The dividend payouts are expected to be conducted in the third and fourth quarters of this year.

In addition, BIDV plans to issue 341.5 million new shares, equivalent to 8.5 percent of the charter capital, to be sold to the public. The issuance will be carried out during 2021-2022 after getting the approval from authorized State office.

This year, the bank also sets targets of 10-12 percent in credit balance growth, 12-15 percent in capital mobilization growth, 13 trillion VND in pre-tax profits, and under 1.6 percent in the rate of bad debts.

Last year, BIDV posted pre-tax profits of over 9 trillion VND and a total asset of over 1.5 quadrillion VND, up 1.8 percent year-on-year, making it maintain a joint stock commercial bank with the biggest asset in Vietnam./.

VNA