Hana Financial Investment acquires 35% of BIDV Securities in Vietnam
Hana Financial Investment has become the second largest shareholder of a state-owned bank securities company in Vietnam.
Hana Financial Investment announced on Monday that it had acquired 35% of BIDV Securities for 142 billion won ($11.36 million). The operation was carried out as a capital increase by allocation to a third party.
BIDV Securities, headquartered in Ho Chi Minh City, is a subsidiary of Vietnam Bank for Investment and Development of Vietnam (BIDV). It is one of the four largest state-owned commercial banks in Vietnam and the largest shareholder of BIDV Securities with a 52% stake.
BIDV Securities was the 11th largest in Vietnam’s stock brokerage sector since last year.
Hana Financial Investment said it plans to “actively participate in the future management” of BIDV Securities.
Hana Financial Investment plans to help renew BIDV Securities’ digital platform and launch businesses, including asset management, and help strengthen credit lending and consignment sales. BIDV Securities’ goal is to become a major broker in Vietnam by 2026 and transform into a digital-focused brokerage firm.
Hana Financial Investment “will endeavor to build new businesses using BIDV Securities’ and bank’s nationwide networks in Vietnam and Hana Financial Investment’s know-how in finance,” a Hana spokesperson said on Monday. Financial Investment in a press release. He added that the company will establish a new business model for global expansion through continued investment in foreign financial companies.
Established in 1999, BIDV Securities’ net profit last year was 18.8 billion won.
Hana Bank acquired 15% of BIDV for 1.02 trillion won in 2019.
BY JIN MIN-JI [[email protected]]