MB (MBB) seeks to lift charter capital over $3.8 billion

MB (MBB) seeks to lift charter capital over $3.8 billion

The bank proposed to increase charter capital by up to VNĐ22.1 trillion, raising registered capital from about VNĐ80.55 trillion to nearly VNĐ102.7 trillion through three simultaneous share issuances.

Customers at a transaction office of MBBank. — Photo vietnamplus.vn

The Military CommercialJoint Stock Bank (MBBank) has unveiled an ambitious capital expansion plan, targeting charter capital of over VNĐ100 trillion (US$3.8 billion) while maintaining a dividend payout ratio of 25 per cent, underscoring its continued growth strategy and commitment to shareholder returns.

The bank proposed to increase charter capital by up to VNĐ22.1 trillion, raising registered capital from about VNĐ80.55 trillion to nearly VNĐ102.7 trillion through three simultaneous share issuances. It plans to issue more than 1.2 billion shares as stock dividends for 2025 at a ratio of 15 per cent, funded from retained earnings, which would add roughly VNĐ12 trillion to charter capital. 

At the same time, MBBank intends a rights offering of over 805 million shares to existing shareholders at a subscription ratio of 10 for 1 and a price of VNĐ10,000 per share, expected to raise nearly VNĐ8.1 trillion. Shares issued under these two methods would not be subject to transfer restrictions.

The lender will also proceed with a private placement of up to 200 million shares, equivalent to an additional VNĐ2 trillion in charter capital. This batch includes 62 million shares previously approved in 2025, plus 138 million newly proposed. 

The private placement shares will be offered to qualified institutional investors within legal limits, with issuance prices to be negotiated but not lower than the book value reported in the bank's most recent standalone financial statements. 

These privately placed shares may be subject to transfer restrictions under contractual agreements. Execution of the capital‑increase measures is planned mainly for 2026, while the private placement may extend into 2027.

Alongside the equity expansion, MBBank reiterates a strong shareholder return policy for 2025, proposing a total dividend ratio of 25 per cent.

The bank earmarks about VNĐ8.1 trillion for a 10 per cent cash dividend (VNĐ1,000 per share) and will distribute the remaining 15 per cent via stock dividend. The total cash and stock dividend outlay would amount to over VNĐ20.1 trillion.

The bank said the incremental capital will be allocated to both balance‑sheet strengthening and business expansion. 

It plans to deploy around VNĐ13.6 trillion for asset investments, including the development of regional headquarters in the southern and central regions and other locations, while approximately VNĐ8.5 trillion will support business activities, new models and revenue‑generating areas. 

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