A SHB office. The bank plans to raise its charter capital by VND5.53 trillion (US$240.2 million) to VND15.57 trillion. — Photo vneconomy.vn

The Sai Gon-Ha Noi Commercial Joint Stock Bank (SHB) has gained approval to sell 552.2 million shares to existing shareholders.

The share issuance will help the bank increase its charter capital by VND5.53 trillion (US$240.2 million) to VND15.57 trillion as approved at its annual shareholder meeting in early 2019.

Of the total, more than 251 million shares will be issued to pay a dividend to shareholders.

Another 300 million shares will be sold at a 4:1 ratio, meaning every shareholder can buy one new share for every four shares they possess.

The bank is on track to meet Basel II standards this year. Besides a capital hike, it is also planning to upgrade its technology.

The bank's shares are listed on the Ha Noi Stock Exchange under code SHB.

SHB shares ended Monday at VND6,400 each, down 1.5 per cent. Its shares have lost a total of 4.5 per cent since Friday. — VNS