“TCBS Announces Expected IPO Price of VND 46,800 per Share”

TCBS is set to offer a maximum of 231.15 million shares in its initial public offering (IPO), equivalent to 11.1% of its current charter capital, at an expected price of VND 46,800 per share.

Analysts calculate that this price, based on the number of outstanding shares and expected profits in 2025, would equate to a P/E ratio of 20 for the company. According to Fiinpro, the P/E ratio of securities companies is currently between 20 and 25. Therefore, the IPO pricing approved by TCBS’s Board of Directors is considered relatively conservative and does not yet reflect the company’s unique strengths: (i) TCBS is the industry leader and would typically command a higher valuation; (ii) its primary focus on wealth management has a larger scale and potential compared to traditional stock brokerage; (iii) TCBS boasts superior financial metrics and operational efficiency due to its modern WealthTech operating model; and (iv) the potential expansion into crypto assets, structured products, and peer-to-peer lending has not yet been factored into the current valuation.

At the proposed offering price, TCBS is valued at approximately USD 3.7 billion pre-IPO. The number of shares offered in the IPO is limited to only 11.1% of pre-issuance charter capital and 10% of post-issuance charter capital (the minimum required by law). Following the offering, expected in early Q4/2025, TCBS is set to raise nearly VND 11,000 billion in new capital, a 35% increase in its equity base, providing a strong foundation for further growth in the coming years.

Post-IPO, TCBS is expected to have a market capitalization of approximately USD 4.1 billion, just 20% short of its 5-year strategic goal of reaching USD 5 billion. A TCBS leader shared at an investment conference in early July 2025: “Achieving the USD 5 billion market cap target depends on the demand and interest from individual and foreign investors when TCBS is listed, expected by the end of this year.”

TCBS is currently the leading securities company in Vietnam with the highest equity and profits in the industry and dominant market shares in core segments such as bonds and margin lending. Typically, industry leaders are valued 20-30% higher than the sector average, as seen with VCB in banking or FPT in information technology. With its new P/E ratio at the lower end of the industry range, TCBS has room for valuation upside post-listing.

The anticipated TCBS IPO comes at a time when the Vietnamese stock market is experiencing a strong rebound, underpinned by significant improvements in the macroeconomic environment. In the first half of 2025, the VNIndex surged by more than 18%, peaking at 1,557.42 points on July 28 – the highest level in the market’s 25-year history. Market liquidity also exploded, with a recent trading session on July 29 recording a record-breaking total trading value of over VND 70,000 billion, reflecting the strong return of investor confidence.

Institutional foreign investors are closely monitoring the TCBS offering, especially given the new law that allows issuers to proactively set foreign ownership limits. With its unique business model, advanced technology, data, and operations, coupled with high governance standards, TCBS is poised to become an attractive investment target for long-term foreign funds, particularly as Vietnam strives for market upgrade.