BIDV Highlights
Hu ong Phuong
10 years of equitization reached VND550 trillion (USD24.2 billion), with growth rate of capital mobilization and loans reaching over 16 percent each, and profit before tax reaching VND5,233 billion (USD230 million), an increase of nearly 21 percent compared to 2012. ROA and ROE ratios were 0.73 percent and 12.7 percent, respectively and dividend payout ratio was 8.5 percent.
A meeting on the re listing of BIDV stock on the stock exchange
Equitization is an important step that helps BIDV rise to become the leading bank in the industry. Special IPO On 28 December 2011, under Prime Minister's Decision No. 2124/QDTTg, BIDV implemented equitization through initial public offering (IPO) at Hanoi Stock Exchange. The equitization has contributed to realizing the goal of further innovating business governance following standards for a modern commercial bank. The IPO was a great success with all 85 million shares or 3 percent of the bank's charter capital sold out at a price beyond expectation. The above deal was voted as one of the 10 outstanding events of Vietnam stock market in 2011.
The bank’s IPO left a footprint in Vietnam's stock market as it was implemented in the fastest time in just 21 working days after the Prime Minister approved the equitization plan. The IPO saw the largest number of participating investors, with 16,238 investors registering to bid for shares. BIDV was also the first enterprise to apply State audit to audit the corporate value before equitization. After the IPO, BIDV became the enterprise with the highest market capitalization. The transformation into a joint stock commercial bank marks an important milestone in BIDV’s development history, opening up opportunities to improve financial capacity, enhance transparency as well as strengthen brand in the market.
Share listing 2 years after the IPO, BIDV made fundamental developments. As of 31 December 2013, the bank’s total assets
14
B I D V r e vi e w
In 2013, BIDV completed the issuance of additional 510,032,102 shares worth of VND5,100 billion (USD224 million) to current shareholders and issued long-term bonds worth of VND3,150 billion (USD138.5 million) that met the conditions to be calculated in the tier-2 capital. BIDV successfully implemented many cooperation and investment activities, partnering with MetLife Inc. - the largest life insurance company in the United States, and with Sumitomo Mitsui Trust Bank - the No. 1 trust and asset management bank in Japan, etc. On 24 January 2014, in Ho Chi Minh City, 2,811,202,644 shares of BIDV (ticker: BID) were officially listed on Ho Chi Minh City Stock Exchange (HOSE). BIDV was the 6th joint stock commercial bank and the 354th enterprises listed on HOSE. With the offering price of VND18,700 per share, BIDV’s capitalization accounted for more than 5 percent of the total market’s capitalization. BIDV's share listing has had positive effects on the market in general and the VN-Index in particular, helping attract more foreign investors’ participation in the Vietnamese stock market. For BIDV, the listing on the stock market is an important step
