The HCM City Development Joint Stock Commercial Bank (HDBank) will increase its charter capital to almost VND8.83 trillion (US$389 million) from the curent VND8.1 trillion by issuing 56.7 million shares, vietnamplus.vn reports. — VNS Photo

The HCM City Development Joint Stock Commercial Bank (HDBank) will increase its charter capital to almost VND8.83 trillion (US$389 million) from the curent VND8.1 trillion by issuing 56.7 million shares, vietnamplus.vn reports.

Of the sum, VND292 billion will be earmarked for building its headquarters and expanding operations and VND437 billion will be used for medium- and long-term loans.

These targets are part of a plan approved at the bank’s annual shareholders meeting in HCM City last Friday.

HDBank general director Nguyen Huu Dang said the bank expects to post VND1.3 trillion pre-tax profits in 2017, a rise of 13 per cent against last year, and keep its bad debt rate below 3 per cent.

Between 2017 and 2021, HDBank will work to achieve an average annual ownership capital growth of 15 per cent. By the end of 2021, it plans to raise charter capital to VND15 trillion and pre-tax profits to VND2.5 trillion.

In 2016, HDBank’s pre-tax profits and credit outstanding balance exceeded VND1.1 trillion and VND90.1 trillion, respectively. — VNS