Deutsche Bank Buys 10 Per Cent Habubank Stake

Hanoi Housing Bank (Habubank) and Deutsche Bank AG accounted on October 1 that Deutsche Bank AG completed a 10 per cent purchase of Habubank, which increases the Habubank’s registered capital from VND1,260 billion (US$ 78.75 million) to VND1,400 billion (US$875 million). This is part of a strategic partnership deal inked earlier this year and been waited for the approval from Vietnamese authorities. Under the agreement, apart from the stake acquisition, Deutsche Bank will supply technical support and expertise in treasury and risk management. The German bank will also explore cooperation in credit card and investment products.

 

Bui Thi Mai, Habubank general director, said “The partnership aims to increase the value of shareholders, investors and customers of both banks.” The deal is a proactive step for Habubank in Vietnam’s ongoing global integration via best international banking administration practices.

“The acquisition of Habubank stake enables Deutsche Bank to build a greater presence in Vietnam where we won the “Best Investment Bank” Award granted by FinanceAsia and directly participates in the development of local financial services in this country”, said Mr. Colin Grassie, chief executive of Deutsche Bank in Asia-Pacific.

 

Established in 1989, Habubank is the first joint stock bank in Vietnam and is now a leading bank with 26 transaction points and 750 employees nationwide. It is now serving over 110,000 individuals and enterprises. In 2006, Habubank won “Best Bank in Vietnam 2006” granted by The Banker.