28th Dec 2005 10:29
HSBC Holdings PLC28 December 2005 HSBC ACQUIRES 10 PER CENT OF VIETNAM'S TECHCOMBANK The Hongkong and Shanghai Banking Corporation Limited has entered into anagreement to acquire 10 per cent of the share capital of Vietnam Technologicaland Commercial Joint Stock Bank (Techcombank) for a cash consideration of VND275billion (US$17.3 million). Regulatory approval has been received and thetransaction is expected to be completed shortly. Techcombank is Vietnam's third largest joint stock bank, with total assets ofUS$482 million at 31 December 2004. Headquartered in Hanoi, the bank currentlyoperates through a network of 45 branches in 10 provinces and cities in Vietnam.Techcombank employs nearly 1,000 staff and offers a range of retail andcommercial banking services. HSBC is one of the largest foreign banks in Vietnam with an investment capitaltotalling US$30 million. The bank has two branches, one in Hanoi and one in HoChi Minh City, and a representative office in Cantho, and 190 employeesproviding a wide range of corporate and personal financial services to a diversecustomer base. Alain Cany, chief executive officer of HSBC in Vietnam, said: "We are optimisticabout the prospects for Vietnam which has benefited from continued, strongeconomic growth over the past few years and measures taken by the government toexpand the local banking industry. Our investment in Techcombank will give HSBCgreater participation in Vietnam's fast developing financial market and we hope,in return, to offer our international expertise to support the growth of Vietnam's economy." Notes to editors 1. Vietnam Technological and Commercial Joint Stock Bank (Techcombank)Techcombank was founded in 1993 and is now the third largest joint stock bank inVietnam. It has assets totalling US$482 million at 31 December 2004 and anetwork of 45 branches throughout Vietnam. 2. HSBC in VietnamHSBC first opened an office in Saigon (now Ho Chi Minh City) in 1870. The branchoperated for over 100 years, until its closure in 1975. HSBC also opened anagency of the bank at Haiphong in 1884 which was upgraded to a sub-office at thebeginning of the 1920s. This arrangement continued until the closure of theagency in 1954. The bank was able to revive its strong links with Vietnam whenrepresentative offices were opened in Ho Chi Minh City and Hanoi in 1992. The HoChi Minh City representative office became a full service branch in 1995 and abranch was opened in Hanoi in March 2005. A representative office was alsoopened in Cantho in May 2005. 3. The HSBC GroupThe Hongkong and Shanghai Banking Corporation Limited is the founding and aprincipal member of the HSBC Group which, with over 9,700 offices in 77countries and territories and assets of US$1,467 billion at 30 June 2005, is oneof the world's largest banking and financial services organisations. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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