Latest news with #HoSE
Business Times
2 days ago
- Business
- Business Times
Vietnam's F88 pawnshop chain sees shares hit ceiling in market debut
[HO CHI MINH CITY] Shares of Vietnam's largest pawnshop chain operator, F88 Investment, surged nearly 40 per cent to hit the ceiling price at the close of its trading debut on the Unlisted Public Company Market (UPCoM) on Friday (Aug 8), boosting its market capitalisation to 7.3 trillion dong (S$357.4 million). With 400 shares traded during the day, its price rose from the opening reference of 634,900 dong to 888,800 dong per share, making it the most expensive stock on the market. These shares were part of the 8.26 million listed by F88 on UPCoM – an alternative trading platform with lower listing requirements than the country's main bourse, the Ho Chi Minh City Stock Exchange (HoSE), and often regarded as a stepping stone before companies move to the latter. Founded in 2013, F88 plans to list on HoSE by 2027 with a valuation of US$1 billion. It is currently the only pawn service company traded on Vietnam's stock exchange. 'F88 clearly sees participation in the capital market not only as a means to enhance transparency and supervision but also as a financial driver to scale the business, improve operational standards, and move closer to the goal of listing on HoSE in the future,' said chairman Phung Anh Tuan, as quoted in the company's press release on Aug 8. According to its prospectus released on Aug 4, F88 plans a stock issuance between 2025 and Q1 2026 following its UPCoM listing, aiming to raise funds by issuing approximately 101.7 million new shares to existing shareholders at that point. A NEWSLETTER FOR YOU Friday, 8.30 am Asean Business Business insights centering on South-east Asia's fast-growing economies. Sign Up Sign Up The pawnshop operator is backed by several foreign institutional investors, which collectively held over 55 per cent of the company as at June this year. Among them is Vietnam's oldest private equity firm, Mekong Capital, which owned nearly 37 per cent via two Singapore-based entities, Skydom and Winter Flame. Serving the underbanked According to the State Bank of Vietnam, 52 per cent of Vietnamese people – approximately 50 million – held bank accounts as at mid-2022. However, around half of these account holders lacked access to credit from banks. F88 targets these underbanked and unbanked customers by offering short-term small loans secured by vehicles, registration papers or electronic devices. Loans secured by motorbikes range from three million to 50 million dong, while those secured by cars range from 23 million to two billion dong. The monthly interest rate is about 0.9 per cent. Including loan management and asset management fees, the effective annual interest rate ranges from 32 to 55 per cent, according to the company's website. In addition to vehicle title-lending products, F88 is also expanding into the microinsurance segment and banking agency services. Through a strategic partnership with Military Commercial Joint Stock Bank (MBBank), F88 is positioning its branches as 'modern financial transaction offices', offering various basic services such as customer identification, cash deposits and withdrawals, money transfers, payment collection and disbursement. Compared to other alternative finance models in Vietnam, such as peer-to-peer lending and buy-now-pay-later, which still lack a specific regulatory environment, 'pawnshop services operate under a clearer legal framework and are more tightly regulated by authorities,' FiinGroup analysts noted in a report earlier this month. F88 said it is operating 888 stores across 34 provinces and cities nationwide to date, accounting for about 70 per cent of the total number of chain-affiliated pawnshops in the country. As at the end of last December, the firm served more than one million customers, with total outstanding pawn loans reaching 4.6 trillion dong. However, this remained minuscule compared with the estimated 200 trillion dong in total outstanding loans in Vietnam's pawnshop market in 2024, according to FiinGroup data, highlighting significant room for future growth. While 'next-generation' pawnshop companies such as F88 have steadily expanded their presence in recent years, they captured only about 3.2 per cent of the market in 2024, with the remaining share held by more than 23,700 traditional operators. Financial outlook In its most recent credit rating update in April, FiinRatings revised F88's credit upgrade outlook to 'Positive', reflecting expectations of improved capital and liquidity, while maintaining the rating at 'BBB-'. F88 reported a post-tax loss in 2023 but returned to profitability in 2024 and the first half of 2025, with after-tax earnings of 351.3 billion dong and 254.7 billion dong, respectively. The group targets a 33.2 per cent increase in its revenue this year to 3.6 trillion dong, with the profit after tax growing by 53.3 per cent to 538.6 billion dong. It also aims to expand its store count to 1,000 by 2026 and 2,000 by 2030.
Associated Press
3 days ago
- Business
- Associated Press
HDBank Hits Record H1 Pre-tax Profit
HO CHI MINH CITY, VIETNAM - Media OutReach Newswire - 7 August 2025 - HDBank (HoSE: HDB) has reported a record pre-tax profit of VND10.1 trillion (US$383 million) for the first half of 2025, up 23.3 per cent year-on-year, driven by strong digital transformation, robust credit growth, and prudent risk management. HDBank has announced its highest-ever H1 pre-tax profit of VND10.1 trillion (US$383 million). — Photo Courtesy of HDBank In Q2 alone, the bank posted VND4.7 trillion ($179 million) in pre-tax profit. Total operating income grew 30 per cent to nearly VND20.8 trillion ($791 million), supported by a 15.8 per cent rise in net interest income and a 210 per cent surge in non-interest income, notably from digital banking and forex trading. Digitalisation enhanced cost efficiency, with the cost-to-income ratio falling to 25.5 per cent. HDBank maintained high profitability with a return on equity (ROE) of 26.5 per cent and return on assets (ROA) of 2.2 per cent. As of June 30, total assets stood at VND784 trillion ($29.8 billion), up 12.4 per cent year-to-date. Customer deposits reached VND664 trillion ($25.2 billion), rising 7 per cent, while outstanding loans climbed 18.2 per cent to over VND517 trillion ($19.6 billion), nearly double the sector-wide growth. Credit was channeled to infrastructure, manufacturing, consumption, and low-risk sectors. Its non-performing loan (NPL) ratio was kept low at 1.94 per cent, and the capital adequacy ratio (CAR) exceeded 13 per cent under Basel II. The bank continued to support key government and central bank programmes, including loans for affordable housing, digital infrastructure, high-tech agriculture, and green finance. Subsidiaries under HD Financial Group also recorded strong performances. HD SAISON served 15.5 million customers across 27,100 service points, with a H1 pre-tax profit of VND709 billion ($26.9 million), up 18 per cent. Vikki Digital Bank, formerly Đông Á Bank, surpassed one million app downloads in five months. HD Securities reported VND382 billion ($14.5 million) in profit and an ROE of 29 per cent, ranking among the top 10 most profitable brokerages. Digital channels contributed 75 per cent of new customer acquisitions in Q2, while 94 per cent of individual transactions were made online. The bank continues to expand its digital ecosystem with AI-driven solutions and advanced platforms. HDBank recently received several prestigious awards, including from Forbes Vietnam and the ASEAN Corporate Governance Awards 2025. Hashtag: #HDBank The issuer is solely responsible for the content of this announcement.
The Sun
3 days ago
- Business
- The Sun
HDBank Hits Record H1 Pre-tax Profit
HO CHI MINH CITY, VIETNAM - Media OutReach Newswire - 7 August 2025 - HDBank (HoSE: HDB) has reported a record pre-tax profit of VND10.1 trillion (US$383 million) for the first half of 2025, up 23.3 per cent year-on-year, driven by strong digital transformation, robust credit growth, and prudent risk management. In Q2 alone, the bank posted VND4.7 trillion ($179 million) in pre-tax profit. Total operating income grew 30 per cent to nearly VND20.8 trillion ($791 million), supported by a 15.8 per cent rise in net interest income and a 210 per cent surge in non-interest income, notably from digital banking and forex trading. Digitalisation enhanced cost efficiency, with the cost-to-income ratio falling to 25.5 per cent. HDBank maintained high profitability with a return on equity (ROE) of 26.5 per cent and return on assets (ROA) of 2.2 per cent. As of June 30, total assets stood at VND784 trillion ($29.8 billion), up 12.4 per cent year-to-date. Customer deposits reached VND664 trillion ($25.2 billion), rising 7 per cent, while outstanding loans climbed 18.2 per cent to over VND517 trillion ($19.6 billion), nearly double the sector-wide growth. Credit was channeled to infrastructure, manufacturing, consumption, and low-risk sectors. Its non-performing loan (NPL) ratio was kept low at 1.94 per cent, and the capital adequacy ratio (CAR) exceeded 13 per cent under Basel II. The bank continued to support key government and central bank programmes, including loans for affordable housing, digital infrastructure, high-tech agriculture, and green finance. Subsidiaries under HD Financial Group also recorded strong performances. HD SAISON served 15.5 million customers across 27,100 service points, with a H1 pre-tax profit of VND709 billion ($26.9 million), up 18 per cent. Vikki Digital Bank, formerly Đông Á Bank, surpassed one million app downloads in five months. HD Securities reported VND382 billion ($14.5 million) in profit and an ROE of 29 per cent, ranking among the top 10 most profitable brokerages. Digital channels contributed 75 per cent of new customer acquisitions in Q2, while 94 per cent of individual transactions were made online. The bank continues to expand its digital ecosystem with AI-driven solutions and advanced platforms. HDBank recently received several prestigious awards, including from Forbes Vietnam and the ASEAN Corporate Governance Awards 2025.
Zawya
4 days ago
- Business
- Zawya
HDBank Hits Record H1 Pre-tax Profit
HO CHI MINH CITY, VIETNAM - Media OutReach Newswire - 7 August 2025 - HDBank (HoSE: HDB) has reported a record pre-tax profit of VND10.1 trillion (US$383 million) for the first half of 2025, up 23.3 per cent year-on-year, driven by strong digital transformation, robust credit growth, and prudent risk management. In Q2 alone, the bank posted VND4.7 trillion ($179 million) in pre-tax profit. Total operating income grew 30 per cent to nearly VND20.8 trillion ($791 million), supported by a 15.8 per cent rise in net interest income and a 210 per cent surge in non-interest income, notably from digital banking and forex trading. Digitalisation enhanced cost efficiency, with the cost-to-income ratio falling to 25.5 per cent. HDBank maintained high profitability with a return on equity (ROE) of 26.5 per cent and return on assets (ROA) of 2.2 per cent. As of June 30, total assets stood at VND784 trillion ($29.8 billion), up 12.4 per cent year-to-date. Customer deposits reached VND664 trillion ($25.2 billion), rising 7 per cent, while outstanding loans climbed 18.2 per cent to over VND517 trillion ($19.6 billion), nearly double the sector-wide growth. Credit was channeled to infrastructure, manufacturing, consumption, and low-risk sectors. Its non-performing loan (NPL) ratio was kept low at 1.94 per cent, and the capital adequacy ratio (CAR) exceeded 13 per cent under Basel II. The bank continued to support key government and central bank programmes, including loans for affordable housing, digital infrastructure, high-tech agriculture, and green finance. Subsidiaries under HD Financial Group also recorded strong performances. HD SAISON served 15.5 million customers across 27,100 service points, with a H1 pre-tax profit of VND709 billion ($26.9 million), up 18 per cent. Vikki Digital Bank, formerly Đông Á Bank, surpassed one million app downloads in five months. HD Securities reported VND382 billion ($14.5 million) in profit and an ROE of 29 per cent, ranking among the top 10 most profitable brokerages. Digital channels contributed 75 per cent of new customer acquisitions in Q2, while 94 per cent of individual transactions were made online. The bank continues to expand its digital ecosystem with AI-driven solutions and advanced platforms. HDBank recently received several prestigious awards, including from Forbes Vietnam and the ASEAN Corporate Governance Awards 2025. Hashtag: #HDBank The issuer is solely responsible for the content of this announcement. HDBank
Business Times
13-05-2025
- Business
- Business Times
Vingroup's Vinpearl lists amid tariff hit to Vietnam IPOs
[HANOI] A wave of optimism that buoyed Vietnam's stock market in the first quarter of 2025 is fading fast as a harsh US tariff blow derails fundraising plans and stalls initial public offering (IPO) momentum, with hopeful aspirants now eyeing a potential rebound by year-end. Several high-profile listings on the Ho Chi Minh City Stock Exchange (HoSE) this year, including Masan Consumer and Techcombank Securities, are now on hold until the last quarter of this year, with issuers citing the impact of US reciprocal levies of up to 46 per cent on Vietnam and volatile market conditions. 'Our IPO is tentatively planned for the end of this year. However, the exact timing will depend on financial market conditions, the impact of (US) reciprocal tariffs, and the pace of Vietnam's stock market upgrade,' Ho Hung Anh, chairman of Vietnamese private lender Techcombank, parent of the brokerage firm Techcombank Securities, said at last month's shareholder meeting in Hanoi. Investor sentiment took a hit in April, with the benchmark VNIndex sliding 6.2 per cent month on month, wiping out earlier gains. The index, which gained 4 per cent by the end of March, slipped to a year-to-date loss of 3.2 per cent by Apr 29, before rebounding to a 1.3 per cent gain on May 12. Before the latest headwinds, several Vietnamese companies had already taken key preparatory steps, signalling a potentially more vibrant listing market in 2025 after a prolonged slowdown that saw just one IPO in 2024. Across South-east Asia, the IPO market was also sluggish last year with 136 IPOs versus 163 in the preceding year, based on a Deloitte report. A NEWSLETTER FOR YOU Friday, 8.30 am Asean Business Business insights centering on South-east Asia's fast-growing economies. Sign Up Sign Up On Jan 17, Binh Son Refining and Petrochemical – majority owned by state oil firm PetroVietnam – transitioned from the secondary Unlisted Public Company Market (UPCoM) to the HoSE. The company operates the US$3 billion Dung Quat Refinery, the country's second-largest oil refinery. Momentum continued in February with HoSE-listed Becamex IDC announcing plans for a share issuance worth 20.88 trillion dong (S$1 billion) on Apr 28. However, roughly two weeks after US President Donald Trump announced his tariff tantrum, the state-backed industrial park developer decided to push back the share sale to a time it deems 'more suitable'. Meanwhile, in March, Masan Consumer shareholders approved the delisting of the company's shares from UPCoM to prepare for a blockbuster public listing on HoSE. The ownership of a major shareholder was also adjusted to meet the requirements for the move. However, due to volatile global market conditions, the IPO of the consumer goods subsidiary of Vietnamese retail giant Masan Group is reportedly being pushed to the fourth quarter instead of the second quarter as earlier announced. 'The market is currently a lot more challenging,' said Michael Hung Nguyen, deputy chief executive at Masan Group, during a conference in Hanoi on Apr 22. 'You don't want to be the only guy going to the market… We would like to see other peers making the market more active for us.' Vinpearl appears to be leading the charge. On May 13, the hospitality arm of Vietnam's largest private conglomerate Vingroup, became the first major listing in the wake of the tariff-driven turbulence. It floated 1.8 billion shares on HoSE, bringing its market capitalisation to nearly as high as 153 trillion dong in the first trading session. The stock offering followed a successful rights issue in February, during which the firm raised more than five trillion dong. Turning point Market observers anticipate a turning point in Vietnam's IPO landscape by late 2025 amid the government's push to bolster the private sector and strengthen the domestic economy to mitigate external shocks. 'A key driver of the anticipated rebound is firms' urgent demand for capital,' said Tyler Nguyen, chief market strategist at Ho Chi Minh City Securities Corporation. 'We also expect improved approval processes and a stronger institutional focus on facilitating capital market access.' However, Nguyen said an unfavourable trade deal with the US could weaken investor sentiment in Vietnam, potentially delaying IPO timelines or complicating the book-building process. 'The strength of any IPO recovery will heavily depend on the outcome of ongoing trade negotiations between Vietnam and the US,' he added. In light of this context, an increasing number of companies, including commercial lenders VietABank, BVBank, Saigonbank, and Kienlongbank, have announced plans to upgrade from UPCoM to the country's main bourses in the latter half of this year. 'This strategic transition marks a significant advancement in corporate governance maturity, strengthens brand visibility, and signals these companies' readiness to capitalise on anticipated increases in capital inflows,' said Bui Van Trinh, transactions accounting support partner at Deloitte Vietnam. 'Looking ahead, sectors likely to lead the IPO recovery include financial services and, in the long run, technology – all aligned with Vietnam's broader shift up the value chain,' he added. Upside for startup listings At the other end of the spectrum, local tech startups are eagerly awaiting positive developments as Vietnam is actively exploring a specialised secondary bourse within its planned International Financial Centres (IFC) in Ho Chi Minh City and Da Nang. This aims to enable high-growth companies to raise funds through public listings based on revenue potential or innovation capacity rather than profitability, which is currently a key criterion for domestic IPO. The proposed board would introduce simplified disclosure requirements, tech-specific valuation metrics, and streamlined post-listing obligations, as part of broader IFC initiatives to attract investment and improve market liquidity, including a pilot crypto exchange. However, experts warned of existing challenges, including domestic investors' limited understanding of pre-profit valuations, immature risk assessment frameworks, and the need for stronger legal protections for public shareholders. Chris Milliken, a partner at Baker McKenzie, noted that foreign investors may face obstacles when investing in Vietnamese companies of various sizes and stages due to certain unfamiliar local regulations. These include foreign ownership limits, sector-specific licensing requirements, and transaction practices that differ from international norms. 'Investing in Vietnam certainly involves some careful upfront thinking and strategising both about the incoming investment and also about a future exit,' he said. 'If foreign investors can see that there are meaningful and compelling pathways to exit investments in Vietnam through capital markets, then more foreign investors will want to invest.'
