F88 eyes capital expansion, HOSE listing just one year after debut

F88 eyes capital expansion, HOSE listing just one year after debut

To support this expansion, the board of directors has proposed a charter capital increase to approximately VNĐ1.37 trillion through three share issuance plans.

For 2026, F88 has set strong growth targets, including net outstanding loans exceeding VNĐ7.5 trillion (US$300 million), up 33 per cent year-on-year. — Photo courtesy of F88

Financial services firm F88 is seeking shareholder approval for an ambitious capital increase and a planned transfer of its shares to the Ho Chi Minh Stock Exchange (HOSE), just one year after listing on the UPCoM market.

The proposals, among the most notable items in the company’s 2026 annual general meeting (AGM) documents, are seen as a key step in strengthening F88’s position in the capital market as it enters a new development phase, with a strategy focused on providing inclusive financial services to mass-market customers.

For 2026, F88 has set strong growth targets, including net outstanding loans exceeding VNĐ7.5 trillion (US$300 million), up 33 per cent year-on-year, revenue of VNĐ5.46 trillion, up 42 per cent, and consolidated pre-tax profit of VNĐ1.13 trillion, representing a 25 per cent increase.

To support this expansion, the board of directors has proposed a charter capital increase to approximately VNĐ1.37 trillion through three share issuance plans.

Under the proposal, the company will issue bonus shares to existing shareholders at a 1:1 ratio, equivalent to around 110 million new shares, using retained earnings and share premium based on its audited 2025 financial statements. The board will be authorised to determine the detailed allocation of these capital sources.

In parallel, F88 plans a public offering of up to 22 million shares, or roughly 20 per cent of its outstanding shares, through distribution agents. The offering price will be set at no lower than the book value of VNĐ22,240 per share, based on audited 2025 financial statements, and not less than 70 per cent of the average closing price over the five trading sessions prior to the launch.

The board will decide the final offering price in line with these principles, with the issuance expected to take place in 2026, subject to approval from the State Securities Commission of Vietnam.

Proceeds from the offering will be used to increase capital for its subsidiary, F88 Business JSC, to expand its core pawn lending operations. Pending disbursement, the funds may be deposited with credit institutions to optimise capital efficiency.

In addition, the company plans to issue up to 4.4 million ESOP shares, equivalent to 1.82 per cent of outstanding shares prior to issuance, aiming to align employee interests with long-term corporate growth.

If fully implemented, F88’s charter capital is expected to rise from VNĐ1.1 trillion to approximately VNĐ2.47 trillion, providing greater financial capacity to scale operations.

According to its AGM documents, F88 is entering a new growth phase for the 2026–30 period, with a vision to become a comprehensive financial platform serving underserved and mass-market segments – a group still seen as having significant growth potential in Việt Nam.

In this context, strengthening the capital base and diversifying funding channels are viewed as essential to sustaining growth momentum and meeting increasingly stringent market requirements.

The company said its strategy will prioritise capital efficiency, asset quality and financial discipline, rather than expansion at all costs.

UPCoM-to-HOSE transfer in focus

Alongside the capital plan, F88 is also seeking approval to transfer its listing from the UPCoM to HOSE.

The board will be authorised to determine the timing of the delisting from UPCoM and the official listing on HOSE, depending on market conditions and regulatory requirements.

Market observers view the planned move as a significant milestone, expected to enhance transparency and corporate governance standards, while improving access to institutional investors both domestically and internationally, who tend to concentrate trading on HOSE.

F88 became a public company in May 2025 and began trading on UPCoM in August the same year. If approved, the transfer would mark the next step in its capital market journey.

In recent years, Việt Nam’s stock market has seen a growing number of non-bank financial firms turning to capital markets to mobilise resources for expansion. For companies operating in consumer finance and financial services, listing on a major exchange not only improves fundraising capacity but also strengthens credibility and governance standards.

F88’s proposed capital increase and exchange transfer underscore its efforts to scale up operations and deepen its presence in the capital market.

If approved, the plan would mark a significant step in the company’s transformation from a traditional financial services chain into a comprehensive financial platform for mass-market customers in Việt Nam. 

Bizhub