Several Vietnam’s banks fail to have shares traded on market this year

Ho Chi Minh City Stock Exchange, the country’s main bourse, has received listing document of Maritime Commercial Joint Stock Bank, which plans to list about 1.18 billion shares. MSB was the first bank submitting listing document on the exchange in 2019.

Nam A Bank and Orient Commercial Joint Stock Bank also have plan to list shares on the exchange.

However, due to unfavorable condition of stock market in the final months of 2019, OCB decided to delay the listing. OCB share price on the free market is at around VND15,000 ($0.65) each.

Currently, room for foreign investors at OCB is huge since it has only one foreign investor Vina Capital holding 5%.

Nam A Bank has to delay the listing this year. At the annual general meeting of shareholders 2019, the bank sought shareholders’ approval to list shares and sell stakes to foreign investors. No development has been reported so far.

The bank closed shareholders’ book on October 24, 2018 to prepare for UPCoM listing. Later. It announced changing the closing date.

Dau Tu Chung Khoan, a publication of Dau Tu newspaper, cited General Director of Nam A Bank Tran Ngoc Tam as saying the new closing date for shareholders’ book and registration for listing will be announced soon.

VIB and LienVietPostBank had plan to move shares to main exchange, but the plan has not been realized in 2019. The government wants all of commercial banks to list shares on the stock market till end of 2020.

The government’s request on listing of banking sector was set in August 2018. In order to fulfill this requirement, local banks should have laid great efforts for listing from early 2019. Now, the task has not been completed.

Currently, among 31 banks in Vietnam, only 17 banks have their shares traded on the stock market. Of the banks, 10 have shares traded on Ho Chi Minh City Stock Exchange, 3 on Hanoi Stock Exchange. 

Source: Dau Tu Chung Khoan