14:15 | 03/05/2018 Economy
Vietnam Technological and Commercial Joint Stock Bank (Techcombank) raised about 21 trillion VND (US$922 million) in its initial public offering (IPO) on April 27.
|Transactions at Techcombank - Photo: VNA|
All of more than 164 million ordinary shares were successfully sold to institutional investors at the final price of 128,000 VND (US$5.62) per share.
The book was significantly oversubscribed at the time of pricing.
The trading of Techcombank’s shares on the Ho Chi Minh Stock Exchange is expected to commence on June 4 under the stock code TCB.
“We are thrilled with the positive response from the international investment community. Our decision to allocate a large portion of our offering to the cornerstone investors is a testament to the tremendous demand from a diverse and high quality set of investors. Just as important is that a number of these funds are investing in Vietnam for the first time, ” Nguyen Le Quoc Anh, CEO of Techcombank, said.
He said they believed investors were attracted to the strength of Techcombank’s business model along with the broad background and experience of its management team. But most importantly, investors are very bullish on the growth of Vietnam’s middle class as its young population enters the work force. Finally, the country’s slow financial inclusion rate makes banking a very attractive proposition.
Morgan Stanley, Viet Capital Securities JSC and Deutsche Bank AG are arranging the offering.
As of the end of 2017, Techcombank posted total revenue of around 16.3 trillion VND and pre-tax profit of 8 trillion VND.