SeABank allowed to increase charter capital

Wednesday, Jun 24, 2020 14:39

SeABank and Viet Nam State Treasury (VST) signed a co-operation agreement. — Photo courtesy of SeABank

The State Bank of Viet Nam (SBV) has permitted Southeast Asia Joint Stock Commercial Bank (SeABank) to raise its charter capital to VND12 trillion (US$518.6 million) from VND9.3 trillion ($401.9 million).

SeABank will be able to issue shares to its existing shareholders and pay a dividend following the plan approved at its annual general meeting of shareholders.

The bank maintained charter capital of VND4.4 trillion from 2013-17. In 2018, it increased to VND7.68 trillion after issuing more than 222 million shares. Last year, SeABank completed charter capital increase to VND9.3 trillion through a share offering.

The bank will also pay a 14 per cent stock dividend, equivalent to issuing 131.1 million shares. In addition, SeABank will offer nearly 141 million shares to existing shareholders at a rate of 15 per cent with a price of VND10,000 per share.

SeABank will invest VND80 billion for fixed assets investment and VND1.78 trillion for corporate and individual customers. The rest will be invested in low-risk bonds such as credit institution bonds and Government bonds.

Shareholders also approved the listing of SeABank shares on HoSE. This is the third consecutive year this bank has put its shares on the listed stock market.

The bank hopes to increase credit balance by 13.6 per cent, equivalent to nearly VND14 trillion.

Total assets are expected to increase by 12 per cent to VND175.6 trillion. The bank targets a pre-tax profit of VND1.5 trillion, up 8 per cent against last year. The non-performing loan (NPL) ratio is targeted to be controlled below 3 per cent.

SeABank and Viet Nam State Treasury deal

SeABank and Viet Nam State Treasury (VST) on Wednesday signed a co-operation agreement.

SeABank is one of the first commercial banks co-operating with the VST in State budget collection and collection orders to enhance administrative reform and non-cash payments to better serve businesses and people.

VST will wortk with SeABank to open and use an accounting system for State budget collection at the bank. The two sides will exchange information and data relating to the State budget collection.

The co-operation with the State Treasury will also help SeABank effectively use resources to improve the quality of payment services for customers, opening new payment channels for utilities. — VNS

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