Major funds line up for BIDV private share placement

BIDV bank's board of directors has approved a plan to sell about 264 million ordinary shares via a private placement in Q1/2026, aiming to raise roughly VND10.27 trillion ($391 million), as the Vietnamese state-controlled lender seeks to strengthen capital for credit expansion.

In a disclosure released this week, BIDV said the shares will be sold at VND38,900 ($1.48) each, representing a discount of about 29% to the stock’s closing price of VND54,500 on Wednesday. Shares issued under the private placement will be subject to a one-year lock-up period.

The offering will be open to 33 professional securities investors, including both domestic and foreign institutions, the creditor said.

Among the prospective investors are several well-known organizations and investment funds, including the State Capital Investment Corporation (SCIC); Dragon Capital–related funds such as Hanoi Investments Holdings Limited, Vietnam Enterprise Investments Limited, and Amersham Industries Limited; DC Dynamic Securities Fund, Darasol Investments Limited, SSI Asset Management, Manulife Vietnam, and Prudential Vietnam.

BIDV said it plans to use the entire proceeds from the placement to support its lending activities in 2026.

According to figures presented at a recent year-end conference, BIDV said all key business targets for 2025 were met or exceeded.

As of December 31, 2025, the bank’s total assets stood at more than VND3,250 trillion ($123.7 billion), up 20% from a year earlier. Customer deposits reached over VND2,400 trillion, an increase of 13.7%, while outstanding loans rose 15.2% to more than VND2,300 trillion.

Asset quality remained under control, with the non-performing loan ratio capped at 1.2% under prevailing regulations, the bank said.

Consolidated pre-tax profit exceeded VND36 trillion ($1.37 billion) in 2025. Key profitability and safety indicators were maintained, with return on assets (ROA) at 1.01%, return on equity (ROE) at 19.02%, and the capital adequacy ratio (CAR) at 9%.

As of the end of 2025, BIDV’s equity stood at VND163 trillion ($6.2 billion), up 19.6% from the end of 2024. Charter capital exceeded VND70 trillion, while market capitalization reached about VND273 trillion ($10.39 billion). The bank also contributed more than VND12.7 trillion ($483.4 million) to the state budget.

For 2026, BIDV said it expects credit growth of around 15-16% in line with quotas assigned by the State Bank of Vietnam, while managing deposit growth to ensure safety and efficiency.

The bank aims to keep its non-performing loan ratio at or below 1.5% and targets a 10% increase in pre-tax profit, while maintaining compliance with all regulatory safety ratios.

BIDV is one of the big 4 banks in Vietnam, together with Vietcombank, VietinBank, and Agribank.