Organisations rush to sell Sacombank shares to retrieve debts hinh anh 1Illustrative image (Photo: Sacombank)
Hanoi (VNS/VNA) - Some organisations have rushed to sell shares of Sai Gon Thuong Tin Commercial Joint Stock Bank (Sacombank) to retrieve bad debts, but it was not easy to find buyers agreeing with the offered price.

Lien Viet Securities JSC (LVS) has recently failed to offload three million Sacombank shares because of inappropriate market conditions.

LVS last month registered to sell all three million Sacombank shares via order matching or put-through trading methods from June 18 to July 17.

More than a year ago, LVS bought many Sacombank shares. The average market price of Sacombank at the time was about 11,750 VND (0.5 USD) per share.

Earlier in mid-February, Kienlong Commercial Joint-Stock Bank (Kienlong Bank) put up more than 176.4 million shares of Sacombank for sale at a starting price of 21,600 VND per share to retrieve bad debts.

These 176.4 shares were collateral assets of some individuals. This is the second attempt by Kienlong Bank to offload Sacombank’s shares since its failure at the end of January.

If the sale is successful, Kienlong Bank will collect more than 3.8 trillion VND.

Compared to the previous offering, Kienlong Bank has discounted the share price by 10 percent. However, the price of 21,000 VND was still nearly double the transaction price of Sacombank shares on the stock market at the time.

However, between the end of February and early March, the COVID-19 pandemic made it difficult for Kienlongbank to execute the plan successfully.

Kienlongbank's credit risk provisions in the first six months of this year was 3.2 times higher than the same period last year, reaching 79 billion VND, mainly due to the provision for loans of a group of customers that have secured assets as STB shares.

The Vietnam Export Import Commercial Bank (Eximbank) also plans to sell nearly 75 million shares of Sacombank to retrieve debts.

According to the report of Eximbank's Supervisory Board, the ratio of outstanding securities loans as of December 31, 2019 was 6.04 percent, higher than the maximum level of 5 percent. Most of the loans were overdue loans of seven customers having mortgages as Sacombank shares to buy Eximbank shares, with a total loan balance of 746 billion VND.

Sacombank's pre-tax profit reached 440 billion VND in Q2 this year, up 10.13 percent over the same period last year. In the first six months, pre-tax profit touched 1.4 trillion VND, down by 2.2 percent year-on-year.

As of June, Sacombank's total assets reached 481.9 trillion VND, up 6.2 percent compared to the beginning of this year. Outstanding loans increased by nearly 5 percent to 310.7 trillion VND. Customer deposits rose by 6.33 percent to 426.2 trillion VND.

The bad debts on the balance sheet on June 30 stood at 6.68 trillion VND, up by nearly 950 billion VND from the beginning of this year, or up nearly 17 percent./.