Vietnam: Eximbank pares stake in Sacombank to nearly 8%

Vietnam Export Import Commercial Joint Stock Bank (Eximbank) sold its 1.31 million shares in Sai Gon Thuong Tin Commercial Joint Stock Bank (Sacombank) by the end of December 2017, as part of its plans to divest from the bank.

Eximbank’s shareholding in Sacombank now stands at 7.94 per cent, equivalent to 143.17 million shares of the bank.

In April 2017, Eximbank announced a plan to divest its entire stake in Sacombank. Since then, the bank has continuously reduced its ownership in Sacombank, reaching 8.88 per cent stake in November.

“Despite intention to withdraw all capital at Sacombank, Eximbank has not been able to find investors to transfer all the shares. It, therefore, sells the shares gradually on the stock exchange,” the bank’s senior leader told local media, adding that it is still looking for partners to transfer the shares.

Eximbank’s reduction of ownership in Sacombank is to meet the Circular No. 36 issued by the State Bank of Vietnam (SBV), stipulating that a commercial bank can own stakes in at most two other credit institutions with less than 5 per cent of voting rights.

The Ho Chi Minh-based Eximbank is one of the largest joint stock commercial banks in Vietnam, with charter capital of more than $527 million and equity of more than $585.2 million.

As of the third quarter of 2017, Eximbank’s total assets reached $6.07 billion, an increase of 7.8 per cent from the beginning of the year.

Sacombank is the country’s fifth-largest partly-private bank in terms of total assets, which were estimated at VND290.86 trillion ($12.77 billion) after it merged with Phuong Nam (Southern) Bank in 2015.

The bank was named one of the top five banks to undergo restructuring in 2017, along with the four banks the central bank acquired at a price of zero dong in 2015: VNCB, PG Bank, Ocean Bank and Dong A Bank.

Also Read: 

Vietnam Dealbook: Nam A Bank, Hanoi Toserco, SOE

Vietnam may raise cap on foreign ownership in domestic banks to over 30%

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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.