IFC investor group no longer VietinBank’s (CTG) major shareholder
IFC investor group no longer VietinBank’s (CTG) major shareholder
The International Finance Corporation (IFC) investor group is now no longer a major shareholder of Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank), after selling more than 55.7 million shares of the bank. 
According to a filing on Ho Chi Minh Stock Exchange, IFC last week sold more than 18.9 million shares while IFC Capitalization Equity Fund offloaded 36.8 million shares in VietinBank, reducing their ownership from 6.486 per cent to 4.99 per cent. IFC now owns 60.9 million VietinBank shares, or 1.63 per cent stake, while IFC Capitalization Equity Fund holds 124.9 million shares, or 3.35 per cent stake.
In November last year, the IFC investor group also sold nearly 57.4 million shares of VietinBank, reducing their ownership from 8.027 per cent to 6.486 per cent.
In 2011, IFC and IFC Capitalization Equity Fund invested nearly US$182 million in equity and $125 million in subordinated debt in VietinBank.
Currently, the State Bank of Viet Nam is the biggest shareholder in VietinBank with a 64.46 per cent stake. Japan’s MUFG Bank is next with 19.73 per cent ownership. The rest are held by other shareholders.
VietinBank, Viet Nam's third largest bank by assets, reported an 83 per cent increase in pre-tax profits to almost VND11.5 trillion ($495 million) in 2019. The bank’s assets rose 6.5 per cent to VND1.24 quadrillion ($53.29 billion). Its bad debt ratio was under 1.2 per cent, down from 1.59 per cent in 2018.
The bank targets 6-8 per cent growth in assets this year, 8-10 per cent credit growth and an increase in pre-tax profits of 10 per cent. It seeks to keep bad debts under 2 per cent.
VietinBank shares (CTG) closed at VND23,600 a piece on Tuesday morning session, up 1.7 per cent from Monday.
The IFC Capitalization Equity Fund is a global equity and subordinated debt fund founded by IFC and the Japan Bank for International Cooperation (JBIC).
