ABBANK gets green light to increase capital

ABBANK gets green light to increase capital

An Bình Commercial Joint Stock Bank (ABBANK) has received approval from the State Securities Commission of Vietnam to issue additional shares to existing shareholders to raise its charter capital by 30 per cent to VNĐ13.45 trillion (US$511.2 million).

ABBANK has received approval from the State Securities Commission of Vietnam to make a public share offering to existing shareholders to increase its charter capital by 30 per cent. — Photo courtesy of the bank

It will make a public offering of shares, with shareholders entitled to buy 30 new shares for every 100 held as on the record date, January 15, at VNĐ10,000 per share.

A total of 310,511,028 shares will be offered.

The additional capital is expected to strengthen the bank’s financial base, improve capital adequacy ratios and accelerate investment in technology, supporting expansion amid expectations of a credit demand recovery from 2026.

ABBANK chairman Vũ Văn Tiền said the capital increase would support the bank’s new growth cycle focused on expansion and improvements in governance and transparency.

The capital increase comes amid a strong performance in 2025. As of November, ABBANK’s pre-tax profit was VNĐ3.4 trillion ($129.3 million), nearly 200 per cent of the full-year target.

ROE remained at 16–18 per cent, while the cost-to-income ratio fell to around 33 per cent, indicating improved operational efficiency.

The lender has implemented several strategic moves, including strengthening its senior leadership, accelerating digital transformation and optimising its retail and SME business models – segments viewed as offering solid margins and long-term growth potential.

Recent gains in its shares reflect investor expectations surrounding its restructuring and growth prospects.

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