The Green Light for Capital Increase: A Series of Fortunate Banks

Asia Commercial Joint Stock Bank (ACB – Code: ACB) has recently announced that the State Bank of Vietnam (SBV) has approved a plan to increase its charter capital by up to VND 6.7 trillion in the form of bonus share issuance. This issuance plan was approved by ACB’s 2025 Annual General Meeting of Shareholders.

According to the plan, ACB will issue a maximum of nearly 670 million new shares as bonus shares to shareholders at a ratio of 15% (shareholders owning 100 shares on the record date will receive 15 new shares). The expected completion time for the capital increase plan is Q3 2025.

After the issuance, the bank’s charter capital will increase from VND 44,667 billion to a maximum of VND 51,367 billion. ACB stated that the capital increase is essential to supplement medium and long-term capital for credit activities and government bond investment, as well as to invest in physical infrastructure and strategic projects of the bank.

Vietnam International Commercial Joint Stock Bank (VIB – Code: VIB) has also announced that the State Bank of Vietnam has approved a plan to increase its charter capital by up to nearly VND 4.249 billion in the form of share issuance to existing shareholders and ESOP issuance. This issuance plan was previously approved by the General Meeting of Shareholders and the Board of Directors of VIB.

According to the plan, VIB is expected to issue nearly 417.1 million shares to existing shareholders, equivalent to a ratio of 14%, increasing its charter capital by nearly VND 4,171 billion. In addition, VIB will also issue 7.8 million bonus shares to employees, equivalent to a ratio of 0.26%, increasing its charter capital by VND 78 billion.

The bank stated that the bonus shares for existing shareholders are not restricted from transfer, while the shares for employees are restricted from transfer for one year from the end of the issuance period.

In total, after completing the above two components, VIB’s charter capital will increase from over VND 29,791 billion to over VND 34,040 billion, equivalent to a capital increase ratio of 14.26%.

The State Bank of Vietnam has also approved National Citizen Commercial Joint Stock Bank (NCB) to increase its charter capital by VND 7,500 billion in the form of private placement to professional securities investors.

The plan to increase charter capital was approved by NCB’s 2025 Annual General Meeting of Shareholders at the end of March 2025 and implemented by the NCB Board of Directors in accordance with regulations.

Accordingly, NCB will privately place 750 million shares at an offering price of not less than VND 10,000 per share, to increase its charter capital by a maximum of VND 7,500 billion. The bank plans to implement the capital increase plan from Q2 to Q4 of 2025. After the successful issuance, NCB’s charter capital will increase from the current VND 11,780 billion to VND 19,280 billion.

According to NCB’s plan, the entire amount of approximately VND 7,500 billion raised from the offering will be used to supplement capital for lending activities to business and individual customers for production, business, and consumption purposes, contributing to the credit growth of the banking system and providing capital for the economy in line with the government’s targets.

In addition to the above three banks, several other banks have also approved capital increase plans for 2025 and are expected to be approved by the State Bank of Vietnam in the near future.

At the 2025 Annual General Meeting of Shareholders, Military Commercial Joint Stock Bank (MB) approved a plan to increase its charter capital by VND 19,726 billion in 2025, from over VND 61,022 billion to VND 81,368 billion, in two components.

In the first component, MB will offer shares to private placement investors at a price not lower than the book value per the latest audited separate financial statements before the detailed offering plan is approved by the Board of Directors. These shares will be restricted from transfer according to the agreement between MB and the investors.

The second component of the capital increase plan is to issue shares to pay dividends at a ratio of 32%, corresponding to the issuance of over 1.97 billion shares. The source of funding for this component will come from MB’s accumulated undistributed profits as of the end of 2024, amounting to approximately VND 23,752 billion after expected fund allocations. The time frame for implementing this plan is within 2025, subject to approval from the relevant authorities.

Saigon-Hanoi Commercial Joint Stock Bank (SHB) also plans to increase its capital by approximately VND 5,300 billion by paying dividends in shares. After the issuance, the bank’s charter capital will increase from VND 40,657 billion to VND 45,942 billion.

Orient Commercial Joint Stock Bank (OCB) has approved a plan to increase its charter capital to VND 26,631 billion by issuing shares to increase capital from owner equity with a ratio of 8%.

At the 2025 Annual General Meeting of Shareholders, Tien Phong Commercial Joint Stock Bank (TPBank) approved a plan to issue a maximum of over 132 million shares to pay dividends to shareholders at a ratio of 5%. After the issuance, TPBank’s charter capital will increase by a maximum of VND 1,320.9 billion, from VND 26,420 billion to over VND 27,740 billion.

Vietnam Maritime Commercial Joint Stock Bank (MSB) was approved by the 2025 Annual General Meeting of Shareholders for a plan to pay dividends in shares at a ratio of 20%. Accordingly, MSB plans to issue a maximum of 520 million shares to existing shareholders as dividends. If the issuance is successful, MSB’s charter capital will increase from VND 26,000 billion to VND 31,200 billion (an increase of VND 5,200 billion).

Nam A Commercial Joint Stock Bank (Nam A Bank) also plans to increase its charter capital by over VND 4,200 billion, raising its charter capital from over VND 13,700 billion to VND 18,000 billion. This capital increase will be carried out through share issuance from owner equity to pay dividends and through an employee stock ownership plan (ESOP).