The transfer will bring significant capital surplus to SHB shareholders as well as enhance the bank's financial capacity and position.
On November 5, 2024, SHB announced the Resolution approving the sale/transfer of capital at Saigon - Hanoi Commercial Joint Stock Bank Finance Company Limited (SHBFinance) to partners.
In this second phase, SHB will transfer the remaining 50% of charter capital at SHBFinance, according to the agreement signed with Krungsri.
Previously, in August 2021, SHB and Krungsri signed a contract to transfer 100% of SHBFinance's charter capital in two phases. In May 2023, SHB completed the transfer of 50% of its capital at SHBFinance to partner Krungsri.
SHBFinance was also converted from a one-member limited liability finance company to a limited liability finance company under the new Decision and license of the State Bank of Vietnam. The remaining 50% of SHBFinance's charter capital will be transferred by SHB to Krungsri after 3 years according to the signed agreement.
The transfer of 100% of SHBFinance's charter capital will bring significant capital surplus to SHB's shareholders as well as enhance the bank's financial capacity and position.
SHB continues to cooperate with partners, develop retail business with technology platforms, convenient products, advanced and modern services. In particular, SHB will focus on core business segments, continue to invest in the transformation and digitalization process, opening up many new development opportunities.
Regarding business results, in the first 9 months of 2024, SHB's accumulated pre-tax profit reached VND 9,048 billion, achieving 80% of the annual plan. Total assets were VND 688,387 billion, up 9.2% compared to the end of 2023. Outstanding credit balance reached VND 495,420 billion. SHB's business efficiency indicators remained in the top group in the industry with ROE reaching 22.8%.
With the orientation of sustainable, safe and effective development, SHB continuously improves its management capacity according to international standards and modern models. The CAR ratio is over 11.8%, higher than the regulations of the State Bank, contributing significantly to ensuring safety and maintaining sustainable stability for the banking industry's operations.
In the strong and comprehensive transformation strategy 2024-2028, SHB continuously promotes innovation - creativity, technology application, applying new initiatives internally and bringing customers convenient and modern products, services and solutions.
This is one of the factors that helps the CIR index to be optimized at 24.68% - the lowest in the industry thanks to promoting digitalization and applying technology to operating processes to optimize operating costs.
By applying today's leading technologies such as artificial intelligence AI, big data, machine learning... SHB is digitizing internal processes to products and customer services. The proportion of transactions via digital channels and online platforms is continuously increasing in the top of the industry.
To date, 90% of essential banking operations can be performed entirely on digital channels; at the same time, 92% of transactions of corporate and individual customers are performed entirely through digital channels such as Mobile banking and Internet banking.
SHB sets a strategic goal of becoming the TOP 1 Bank in terms of efficiency; the most favorite Digital Bank; the best Retail Bank and at the same time the TOP Bank providing capital, financial products and services to strategic private and state corporate customers, with a supply chain, value chain, ecosystem, and green development.
