Private lender Eximbank dismisses 2 vice chairpersons, to move headquarters to Hanoi

The extraordinary general meeting (EGM) of private lender Eximbank on Thursday voted to dismiss two vice chairpersons Nguyen Ho Nam and Luong Thi Cam Tu and relocate its headquarters from Ho Chi Minh City to Hanoi.

The meeting, held in Hanoi for the first time since the bank’s inception, took place amid heightened tensions from shareholders.

A group of shareholders holding over 5% of the bank's shares has called for the removal of Nam and Tu from the board of directors. They are both prominent figures in the bank’s leadership history.

Nam, founder of private conglomerate Bamboo Capital, represents a shareholder group with a more than 10% stake, while Tu is former CEO of Nam A Bank. Both had served as Eximbank’s chairperson in the past.

Earlier, another group owning an over 5% stake had also proposed Ngo Tony, head of the supervisory board, be dismissed following his letter to the State Bank of Vietnam's (SBV) inspection department which raised concerns about significant risks facing Eximbank.

Defending himself, Nam stated that he had always worked to represent his shareholder group and acted within the law in his capacity as a board member. He emphasized that he had authorized Tu to represent him at meetings when he could not attend.

Ngo Tony claimed that he and other members in the supervisory board had identified over 2,200 risks at the bank, with two thirds categorized as high or very high. Despite repeatedly raising these concerns with Eximbank’s executives, he argued, no serious action has been taken.

Tu, for her part, denied the accusations against her, clarifying that she had never been absent from board meetings for more than six months as claimed. She attributed her four absences to foreign business trips, for which she had duly informed the board and authorized others to attend.

Addressing the shareholders, chairman Nguyen Canh Anh stated that the proposal to remove the three executives was fully in accordance with the bank’s charter and the Law on Credit Institutions. He reassured the shareholders that the board had followed an appropriate process.

In addition to the dismissal of Nam, Tu, and Ngo Tony, the meeting also approved a proposal to relocate Eximbank's headquarters from HCMC to 27-29 Ly Thai To street, Hoan Kiem district, Hanoi.

This move, which is seen as a key part of the bank’s strategy to expand its presence in northern Vietnam, has sparked significant attention, particularly due to the location's connection to Gelex Group, a major shareholder holding a 10% stake in Eximbank.

In his remarks, acting CEO Nguyen Hoang Hai explained that the decision to move the headquarters was part of a broader strategy to strengthen the bank’s footprint across the country.

He noted that despite having a solid customer base in southern Vietnam, Eximbank had not seen significant growth in the region over the past decade. The bank aims to increase its market share in northern Vietnam, particularly in the areas of logistics, infrastructure, and services for industrial zones.

Hai emphasized the move was not driven by the interests of any particular shareholder group, but rather aimed at securing a long-term growth for the bank. He also pointed out that Eximbank’s northern branches currently contribute just 13% of the bank's total profits, far behind the growth potential in the region.

At the meeting, shareholders did not approve termination of plans to build a new office at 7 Le Thi Hong Gam street in HCMC and amendments to the bank’s charter. The relocation of the bank's headquarters is still subject to State Bank of Vietnam approval.

Eximbank is listed on the Ho Chi Minh Stock Exchange as EIB, which closed Thursday at VND18,800 ($0.74) per share, up 0.53% from the previous session.