AsemconnectVietnam - Maritime Bank(MSB) will sell its entire stake in FCCOM Finance Company to focus on retail banking development. At the same time, the bank continued to grow credit, along with strictly controlling bad debt risks.

At the meeting with analysts and investors to share 9-month business results and long-term plans, including the content of selling 100% of the capital of FCCOM Finance Company, Mr. Nguyen Hoang Linh, General Director of MSB (HoSE: MSB) said that the bank is in contact with 2-3 investors and is in the process of signing a transfer contract in November 2021.
"If expectations are met and nothing changes, the bank will complete the transfer next year and record a profit," Mr. Linh said. The estimated value of the deal is not less than USD100 million and MSB can earn 1,800 - 2,000 billion dong in profit in 2022.
MSB leaders said that the bank intends to divest its subsidiaries and focus on the main areas, developing the retail segment, individual customer groups and small and medium enterprises (SMEs).
Referring to business activities, Mr. Linh said, by the end of October 2021, pre-tax profit is VND4,600 billion, 40% higher than the whole year plan. The ROAA and ROAE ratios are 2.14% and 20.83%, respectively. NIM net profit margin ratio is 3.72%, higher than 3.35% in 2020 and 2.51% in 2019. It is expected that the bank will reach over VND5,000 billion in pre-tax profit for the whole year of 2021.
After 9 months, MSB's credit increased by nearly 16%, higher than 10.6% at the end of June. The bank still expects to reach 25% limit for the whole year. According to the CEO, MSB is a bank with good risk management, focusing on disbursements on sustainable development industries, actively participating in the activities and policies of the State Bank. In the credit limit extension period at the end of the year, MSB is expected to increase the "room" of credit, based on the balance and allocation of the management agency.
By the end of September, bad debt calculated according to Circular 02/2013-TT-NHNN was controlled at 1.31%, down from the end of the previous quarter (1.6%). Total debt restructuring according to Circular 14/2021 of the State Bank by the end of the third quarter was VND1,759 billion, accounting for only 1.8% of total outstanding loans. Besides, the bank also promotes the process of handling collateral assets and selling bad debts.
It is known that as of September 30, the Bank's total assets were over VND195,500 billion, an increase of more than 10% compared to the beginning of the year, exceeding the plan of VND190,000 billion approved by the General Meeting of Shareholders. Customer deposits increased by 9%, demand deposits (CASA) increased by nearly 14%. Thanks to the strong focus on developing e-banking services from 2020 to now, MSB's CASA has grown well, reaching more than 29,000 billion by the end of the third quarter of 2021, ranking 4th in the market by the ratio of CASA/Total money deposits and is expected to reach VND32,000 billion by the end of 2021.
In the plan from now to 2023, the Bank aims to maintain an average credit growth of 25-30%, total assets 17%/year and capital mobilization 16%/year, CASA aims to reach the milestone of VND40,000 billion. Currently, MSB has recorded a number of targets completed early, exceeding the plan set out when working with consultant McKinsey.
Particularly in 2022, MSB aims to grow revenue and profit before tax by 30%, and asset size by 10% - 15%. The bank plans to continue paying dividends in 2021 at the rate of 30%, increasing resources for business activities and ensuring shareholders' interests.
Recently, MSB has completed increasing its charter capital to VND15,275 billion through the issuance of shares to pay the 2020 dividend at the rate of 30%. The Vietnam Securities Depository (VSD) has issued a certificate of securities registration and additional depository of 352.5 million shares since 9/11.
According to MSB leaders, the increase in capital will help the bank ensure capital adequacy ratios and risk management to meet Basel II international standards, towards Basel III. Since then, the bank has more resources to invest in strategic projects, expand business development in the period of 2021 - 2023 such as building a digital bank, investing in digitization and investing in new core-banking systems.
N.Nga
Source: VITIC/Tinnhanhchungkhoan