Vietnam Digest: Vingroup mulls $1b private placement; SocGen exits SeaBank

Vingroup's Vincom Centre. Photo: Vingroup

Vingroup has announced its plan to conduct a private placement offering to raise $1 billion while French Société Générale Group has fully divested 20 per cent stake in Hanoi-based lender SeABank.

Vingroup to issue $1b private placement

Vietnam’ biggest listed firm by market value, Vingroup, has announced its plan to conduct private placement to raise $1 billion, local media reported.

Vingroup will offer for sale 250 million shares, equivalent 7.8 per cent of outstanding shares, to a maximum of five foreign institutional investors. The proposed offering price is not lower than VND100,000 per share. The number of shares, post offering, will be restricted for transfer within one year.

Vingroup is expected to set aside VND10 trillion for restructuring debt, VND6 trillion for its subsidiaries (VinFast, VinTech and Vinsmart), VND4 trillion for investments in real estate projects and VND5 trillion for business activities.

Vingroup’s share (VIC) are trading around VND120,000 per share – the highest level since listing. Vingroup also enjoys the highest market capitalization value of VND 378.5 trillion, equivalent to $16 billion.

Last year, the Vietnam’s biggest conglomerate raised $400 million through a private placement issue of 84 million preferred shares to Hanwha Asset Management, an affiliate of South Korea’s Hanwha Life Insurance.

Société Générale fully divests from SeABank

French Société Générale Group has fully divested its 20 per cent stake in Hanoi-based lender SeABank, ending 10 years of strategic partnership, local media reported.

Société Générale divested its stake at SeABank at the end of 2018 with the aim of restructuring the investment portfolio to withdraw investments from Vietnam and throughout Asia.

Before SeABank, Société Générale also divested 100% capital in consumer finance by selling Société Générale Vietnam Finance Company Limited (SGVF) to Ho Chi Minh City-based HDBank.

The French group held 15 per cent stake of SeABank since 2008. In the following years, Société Générale continued to buy more to raise its ownership at SeABank to a maximum of 20 per cent.

Early last year, Vietnam’s telecom company Mobifone Corporation, another major shareholder of SeABank, collected over VND330 billion from the divestment all of 33.4 million shares, equivalent to 6.11 per cent stake of the bank.

Also Read:

Vingroup acquires 51% of Spanish hardware firm BQ to make smartphones

Vietnamese conglomerate Vingroup said to be eyeing telco Gtel

Vietnam Dealbook: Alp Asia is ACB’s major shareholder; SeAbank buys VNPT arm 

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.