ACB was approved to increase capital to more than 27,000 billion VND

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The bank plans to issue 540 million shares paying 25% dividend. The bank has more than 10,300 billion dong of undistributed profit after tax by the end of the first quarter.

The State Bank approved  ACB  to increase the maximum charter capital by more than 5,400 billion dong, by issuing  540 million shares to pay dividends, equivalent to 25%.

Upon completion, ACB’s charter capital will increase from VND 21,615 billion to over VND 27,000 billion.  The Bank said the increase in charter capital is aimed at ensuring safe ratios for, increasing medium and long-term capital sources for credit extension and investment in Government bonds, adding capital sources for renovation and investment in strategic projects in the coming years.

In the first quarter, the bank’s profit before tax was VND3,104 billion, 61% higher than the same period of 2020. Undistributed profit after tax was more than VND 10,300 billion.

As of March 31, total assets were at VND 449,515 billion, up 1.1% compared to the beginning of the year. Customer deposits decreased by 0.3% to VND352,217 billion.

Outstanding loans to customers increased by 4% to 324,311 billion dong. The bank’s bad debt stood at VND 2,954 billion, an increase of nearly 61% compared to the end of 2020. In which, doubtful debt increased by 94% to VND 799 billion, potentially losing capital increased by 53% to VND 1,858 billion. The ratio of bad debt to total outstanding loans increased from 0.6% to 0.92%.

Source: ndh.vn – Translated by fintel.vn