Vietcombank needs exceptional approval to list 1.6bln shares

If Vietcombank could not sell shares to strategic partners before listing 1.6 billion shares, the lender must seek exceptional approval from market regulator to do so.

If Vietcombank could not sell shares to strategic partners before listing 1.6 billion shares, the lender must seek exceptional approval from market regulator to do so, the online newspaper Dau Tu Chung Khoan (securities investment) quoted a source from the Hochiminh Stock Exchange (HOSE) as saying.

The source pointed out that earlier Vietcombank debuted over 9% stake on the HOSE under special listing mechanism as it could not sell 20% stake to at least 100 shareholders as requested by market regulator.

Therefore, the new listing must also have exceptional approval from authorities if the lender fails to sell stake to strategic partners, especially when 1.6 billion shares are frozen and held by the state.

Under current regulation, a local bank wishing to list shares on stock exchange must seek approval from the State Bank of Vietnam, the State Securities Commission and the exchange.

Le Thi Hoa, member of BOD of Vietcombank said after getting approval from the State Bank of Vietnam, the lender is preparing documents to list 1.6 billion shares in compliant with regulations.

Nguyen Son, head of market development department of SSC said the stock market regulator has not yet received listing application from VCB with clear purposes. Once getting the filing, the market watchdog will consider whether or not approve the listing.

Under the current practice, the stock exchange will approve share listing plan in principle after receiving completed filing documents, and will officially approve 3 days after share deposit completed. Issuer makes decision on when to debut the new shares.

Recalculating VN -Index

The SSC on early February this year sent official document asking HOSE to study and find solutions for the fact that VN-Index has not yet closely reflect market changes due to its dependence on heavy-weighed blue chips such as BVH, MSN, and VIC.

Son said HOSE has took action and is about to report VN -Index recalculating project to the SSC.

If HOSE excludes government holding, strategic holding, founders’ holding and other locked-in shares, the listing of 1.6 billion VCB shares does not make sense much – Stoxplus.com

Tags: VCB shares, VCB stock, vietnam stock, Vietnam stock market, VNindex