Recently, the State Bank of Vietnam has approved in writing to change the charter capital of Saigon – Hanoi Bank (SHB) to VND26,674 billion. The successful continuous raising of capital in recent years sets an important foundation for SHB to increasingly affirm and improve its reputation in the domestic and foreign investment community as well as international credit rating agencies. Also, in 2022, in implementing the resolution of the 30th General Meeting of Shareholders, SHB is planning to continuously increase its charter capital to VND36,459 billion.
Thus, with the approval of the State Bank, SHB has a new charter capital of VND26,674 billion– this is also the issuance result that has been confirmed by the Securities Commission before; corresponding to the number of shares that have been approved by the Ho Chi Minh City Stock Exchange for additional listing and put into trading on the stock market. At the same time, this affirms that SHB has fully fulfilled its commitment to shareholders and investors on improving financial capacity according to the plan to increase charter capital in 2021 approved by the General Meeting of Shareholders and is a premise to implementing the next capital increase plan.
Implementing the resolution of the General Meeting of Shareholders in 2022, SHB will increase its charter capital to VND36,459 billion, expected to be in the Top 3 largest private joint stock banks in terms of charter capital. Accordingly, SHB has completed the submission to the SBV on the plan to increase charter capital as approved by the 2022 Annual General Meeting of Shareholders, including 3 parts: dividend payment in 2021 to existing shareholders at the rate of 15 % in shares; private placement to existing shareholders by the method of exercising rights at the ratio of 100:20 with the offering price of VND12,500/share and Employee Stock Ownership Plan (ESOP) to SHB employees with the total number of shares issued at 45.12 million.
With strong financial capacity, SHB continues to expand its operation scale and business development, accelerate bank digitization, and realize its goal of becoming the No. 1 bank in terms of efficiency and technology.
After nearly 30 years of establishment and development, SHB is consistent with a sustainable development strategy with many contributions to the development of the country, the community, partners and customers.
In the first 6 months of 2022, SHB achieved impressive business results with comparatively high basic financial indicators compared to the same period in 2021. As of June 30, 2022, SHB’s total assets reached more than VND522 trillion, completing 91.7% of the plan in 2022. Total mobilized capital amounted to more than VND471 trillion; credit balance reached more than VND 390trillion, both targets completed 93% of the plan in 2022. Profit before tax amounted to nearly VND5.9 trillion (up 84%), completed over 50% of the plan set by the General Meeting of Shareholders; net income from business activities amounted to nearly VND9.5 trillion (up 113%), capital adequacy ratio according to Basel II standards was nearly 12%, Moody’s credit rating was B1. With positive business results achieved in the first 6 months of the year, SHB’s target of a minimum total profit of VND11,686 billion in 2022 is completely satisfactory.
Good profitability and constantly improving charter capital have laid stable premises for SHB to improve Basel compliance, toward meeting Basel III requirements, built a solid risk management foundation, ensured a healthy, safe, and effective development process.
SHB has grown strongly with more than 530 domestic and foreign transaction points, serving more than 5 million individual and corporate customers, connecting 500 correspondent banks worldwide.
In recent years, SHB has been continuously recognized with many prestigious domestic and international awards. SHB is currently in the Top 5 largest commercial joint stock banks in Vietnam, Top 10 most prestigious joint stock commercial banks in Vietnam for many consecutive years, Top 500 enterprises with largest brand value globally, 1 among 10 most influential credit institutions in the Vietnamese banking system with many noble certificates of merit and awards.