ACB to issue $96.6m in unconvertible bonds

Tuesday, Dec 18, 2018 13:47

Customers at a Asia Commercial Bank’s office. The bank has planned to raise VND2.2 trillion from the second round of uncovertible bond issuance, which is expected to complete by the end of 2018. — Photo

The Asian Commercial Joint Stock Bank (ACB) on Monday announced a plan to issue VND2.2 trillion (US$96.6 million) worth of non-convertible bonds by the end of 2018.

The to-be-issued 2,200 bonds would mark the bank’s second issuance round this year.

The bonds will mature in 10 years with face value of VND1 billion per bond, the bank said in a statement on Monday.

Bond yield will be paid every year from the issuance date.

The bank expects the upcoming bond issuance to help raise charter capital so it can meet demand for medium- and long-term loans.

The first bond issuance round took place on November 12 and ACB issued VND2.2 trillion worth of non-convertible bonds, which will mature in three years with an annual yield rate of 6 per cent.

ACB is listing more than 1.12 billion shares, 90 per cent of its total outstanding shares, on the Ha Noi Stock Exchange with code ACB.

ACB shares lost 2.6 per cent on Monday to close at VND29,600 per share. — VNS

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