$9 bln worth of private placement corporate bonds issued in 11 months

The total value of corporate bonds issued in Vietnam via private placements in the first 11 months of the year is estimated at VND218.56 trillion ($8.98 billion), down 10.1% year-on-year, according to securities broker VNDirect.

There were 22 private bond placements with a total value of about VND22.8 trillion ($939.12 million) in October, down 18.7% from the previous month but nearly 11 times higher year-on-year.

In November, the manufacturing group saw the largest bond private placements at VND8.68 trillion ($357.52 million), accounting for 38.1% of total issuance value. The banking group followed with over VND6.92 trillion, or 30.4%.

The value of private placement corporate bonds redeemed in November was about VND4.96 billion ($204.3 million), down 71.7% from the previous month.

The broker estimates that there will be nearly VND20.2 trillion ($832 million) worth of maturing corporate bonds in December, significantly higher than in the previous two months.

The report also says that active negotiations took place between issuers and bondholders to change terms and conditions in November. As reported to the Hanoi Stock Exchange (HNX), in the month to November 27, about 64 issuers had reached agreements to extend the repayment deadline for bonds worth more than VND111 trillion ($4.57 billion).