Thanh Nien Daily 

Thanh Nien Daily

stock investing

Saigon Thuong Tin Commercial Bank (Sacombank). Vietnam's first bank licensed to list. said Monday it would make its stock debut on July 12. a move that is expected to boost the stock market's value by more than half.
Once listed on the exchange . Sacombank's near 190 million shares should increase the value of the Ho Chi Minh City Securities Trading Center by 51 percent to $2.87 billion 'C or around 6.4 percent of 2004 gross domestic product.
Sacombank Chairman Dang Van Thanh said in a statement seen by Reuters that the bank will issue more than 30 million shares after the debut. 20 million of which will be sold to the public via an auction on the Ho Chi Minh City market.
The World Bank's International Finance Corp.. British fund manager Dragon Capital and Australia and New Zealand Banking Group Ltd. each has 10 percent in Sacombank. which has 38 branches in communist Vietnam.
Vietnam allows foreign investors to hold a maximum 49 percent in a listed firm. but current regulations still limit foreign ownership of a listed bank at 30 percent.
The Ho Chi Minh City exchange. has been the best performing market in Asia so far this year as investors look for ways to cash in on Vietnam's strong economic growth. projected at 8 percent this year.
Thanh was quoted by state media on Monday as saying Sacombank's assets were 18.9 trillion dong ($1.2 billion) as at May 31. up 30.7 percent from the end of last year. Gross profit was estimated at 235 billion dong at the end of May. almost double a year earlier. he said.
Finance Minister Nguyen Sinh Hung said last month that Vietnam this year plans to double the number of companies listed on the exchange while also doubling the market value.