BIDV to make IPO on Dec. 28

BIDV will officially make its initial public offering on December 28, 2011.

This was announced by the bank's chairman, Tran Bac Ha.

Under the Prime Minister’s decision, Bank for Investment and Development of Vietnam will keep its current State capital unchanged after being equitized and issue more shares to spur its working capital.

As planned in the first phase, BIDV is expected to issue a 22 percent stake, of which 3 percent goes to making IPO, 1 percent to be sold to employees, 3 percent to bank labor unions, and the remaining 15 percent to be sold to foreign partners.

During the second phase, the bank will continue to sell to foreign partners at a rate of 20 percent of its chartered capital and issue more shares to the public, aimed at reducing the percentage of state ownership to 65 percent of the chartered capital by 2015.

The bank currently has a chartered capital of VND28.251 trillion or US$1.4 trillion. As of November 30, 2011, BIDV had total assets of VND403 trillion or $20.1 trillion and total mobilized capital of VND274 trillion or $13.7 trillion.
The bank obtained a pre-tax profit of VND4.1 trillion or $205 million and the capital adequacy ratio was 10 percent.