ACB Sells US$140.6 Mln Bonds via Standard Chartered
Vietnam’s Asia Commercial Bank (ACB) has sold VND2.25 trillion worth of corporate bonds via the sole issuing agent, Standard Chartered Bank.
The five-year bonds, at face value of VND1 million, were sold at interest rate of 8.6 per cent a year, 0.5 per cent higher than the rate of the government bonds with the same maturity.
Domestic investors, including state-owned and joint stock banks and financial organizations, bought 89 per cent of the bonds, while foreign investors bought 11 per cent of the total.
Ly Xuan Hai, general director of ACB, said his bank plans to issue VND6.5 trillion (US$406 million) long-term bonds in the domestic market this year to diversify capital sources and sharpen its competitiveness.
ACB has chosen Standard Chartered Bank, a strategic shareholder, as the issuing agent for the first tranche in an effort to boost partnership ties between two sides, he said.
Standard Chartered was the first foreign partner of ACB after buying a 8.56 per cent stake in the Vietnamese bank in 2005.
ACB is now one of the largest joint stock banks in Vietnam. It has a registered capital of VND2.5 trillion and market capitalization of VND37.73 trillion.
As the end of August, ACB made pretax profit of VND1.1 trillion, nearly doubling that of the same period last year. (Securities Investment, VNA)
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