The Vietnam Technological and Commercial Joint Stock Bank (Techcombank) will increase its charter capital to nearly 34.97 trillion VND. (Photo: vietnamfinance.com) Hanoi (VNA) - The Vietnam Technological andCommercial Joint Stock Bank (Techcombank) will increase its charter capital to nearly34.97 trillion VND (1.53 billion USD).
The plan was approved by the bank’s shareholders at anextra meeting on June 14.
Techcombank’s chartercapital currently stands at nearly 11.66 trillion VND, and the increase of over23.31 trillion VND corresponds to over 2.33 billion shares expected to beissued with a par value of 10,000 VND per share.
The total number ofTechcombank shares after raising capital will be about 3.5 billion shares.
As a result of theincrease, shareholders will receive more shares at a ratio of 1:2 for eachshare, with each shareholder receiving two new shares. The charter capitalincrease procedure will be completed in July in accordance with the law.
The issuance of shareswill be implemented in the third quarter of this year. The plan is expected tohelp increase liquidity, facilitate trading on the floor by shareholders andinvestors, and provide the bank with more capital sources for growingreinvestment in the coming years.
Nguyen Le Quoc Anh,general director of Techcombank, said this was a good time to increase chartercapital as Techcombank had completed the sale of treasury shares tointernational investors and officially listed on the HCM Stock Exchange (HoSE).The bank has also used retained earnings for many years to implement its2016-20 strategy, focusing on building a solid foundation to generate revenueand profits and reduce risks.
Techcombank willcontinue to focus on banking development strategy in the near future to achievebusiness results consistent with sustainable growth goals approved by the Boardof Directors and shareholders, Anh said.-VNA
