Clients conduct transactions at a VPBank branch. (Source: VPBank)
Vietnam Prosperity JS Commercial Bank (VPBank), among the best performing private banks in the country, plans to sell a 30% stake, the upper limit permitted by the Vietnamese legislation, to foreign strategic investors this year or next year. VPBank has a chartered capital of 5.77 trillion dong (256.5 million USD).
Singapore’s Overseas Chinese Banking Corporation Limited in late 2013 unloaded the entire 14.88% stake of the bank to local individual investors, leaving zero foreign holding since then.
The unlisted bank is also looking to sell a 49% stake at most of VPBank Finance Company (VPBFC) to foreign partners and a 1% holding to a domestic investor, aiming to turn its finance arm into a joint venture. Share sales of VPBFC are scheduled for the first or second quarter of 2016.
VPBank last year acquired Vinacomin’s Vietnam National Coal - Mineral Finance Company (CMF) and turned it into VPBFC. The central bank has allowed the finance firm to raise its chartered capital to 1.5 trillion dong from one trillion dong presently.
In addition, VPBank plans to sell up to an 89% stake in VPBank Securities, which has a capital base of 970 billion dong and retain an 11% stake.
VPBank earned a consolidated net profit of 865 billion dong in the first half this year, up 50% year-on-year.