The Vietnam Technological and Commercial Joint Stock Bank (Techcombank) has no foreign stakeholder following HSBC Bank plc’s divestment in July.(Photo: vietnamnet.vn)
Hanoi (VNA) - The Vietnam Technological andCommercial Joint Stock Bank (Techcombank) has no foreign stakeholder followingHSBC Bank plc’s divestment in July, and has requested shareholders to approvezero foreign ownership temporarily.
In its latest announcement to shareholderson August 30, even as Techcombank asked for approval for a temporary zero percentforeign ownership, it emphasised that adjustments would be made soon. Itexpressed its intention to raise the level of foreign ownership later, but nothigher than 30 percent of its charter capital.
The deadline for shareholders’ feedbackshas been set at 17:00 hours on September 12.
After HSBC’s departure, Techcombank intendsto actively seek a capable strategic investor in the near future.
Back in mid August, HSBC sold back all 172million shares to Techcombank, to be used as treasury stocks at 23,445 VND (1.04 USD) per share, according to the bank’s board of directors. The sharespreviously amounted to 19.4 percent of Techcombank’s chartered capital, and isnow priced at a total of around 4 trillion VND (178.1 million USD).
Recently, Techcombank submitted a plan tothe State Securities Commission (SSC) for permission to issue another 500million shares (stock code TCB) so as to increase its chartered capital. Theseshares are to be sold in two phases, with 70 million shares up for sale at 30,000 VND (1.33 USD) per share during phase one from September to October, orwhenever the SSC permits.
Phase two would see the sale of theremaining 430 million shares; its rate will be decided later by the bank’sboard of directors, based on results of the first phase.
If both phases are successful, Techcombankwill have increased its total chartered capital to 13.87 trillion VND (617.8million USD).
Currently, Techcombank’s shares are beingtraded at 24,500 VND (1.09 USD) per share. As of August, it had purchased 172million treasury stocks at an average price of 23,445 VND (1.04 USD) per stock.Because of this mass repurchase at a lower price than its book value, thebanks’ shares are now gaining.
As per its financial report for the secondquarter of 2017, Techcombank has earned a pre-tax revenue of 2.73 trillion VND (121.6 million USD), making a net gain of up to 355 billion VND (15.8 million USD)from the sale of 25.56 million shares of Vietnam Airlines.
Nevertheless, the bank’s receivables nowamount to 12.68 trillion VND (564.8 million USD), having increased by 1.86trillion VND (82.8 million USD) since the beginning of the year.
In the first six months of 2017, Techcombankreported total uncollectible debts of 2.74 trillion VND (122 million USD), a 1.57 percentrise from the end of 2016. The bank has also sold around 1.99 trillion VND (88.6 million USD) worth of bad debts to the Vietnam Asset Management Company.
Techcombank’s board of directors hasguaranteed its shareholders that it will strictly implement all necessaryprocedures in time, and under the supervision of the appropriate administrativeauthority.-VNA
VNA
