Proposed $100 mln IFC loan to boost SeABank real estate portfolio

The World Bank’s investment arm IFC has proposed a $100 million senior loan with five years in tenor to SeABank, to be exclusively used for the Vietnamese lender’s housing portfolio.

IFC’s management board is expected to approve the proposed investment by December 19 this year, according to an IFC disclosure seen Thursday.

As affordable housing is part of the Hanoi-based commercial bank's plans, the proceeds would also go to this business, IFC said, adding that the loan would come from its own account.

SeABank has 174 branches and transaction offices nationwide as of June 30, 2022. It provides a wide range of commercial banking products and services to both retail and commercial clients through the network.

It is Vietnam’s 12th largest private bank in Vietnam in terms of assets, with total assets of $9.9 billion, IFC says.

The Vietnamese lender said on October 14 that it had received a five-year convertible loan of $75 million from IFC to support its growth and increase targeted lending to small- and medium-sized enterprises.

SeABank and U.S. International Development Finance Corporation (DFC) had signed a deal for a DFC $200 million loan to support women-owned small and medium enterprises and for climate financing. DFC, the U.S. government's development finance firm, approved the loan this June.

SeABank reported pre-tax profits of VND4,016 billion ($166.3 million) in the first nine months of the year, up 58.7% year-on-year and 82% of the year’s target.

It recorded net revenues of nearly VND7,282 billion ($301.5 million) in the period, up 41.5% year-on-year. Its non-interest income reached VND2,205 billion ($91.29 million), up 70%.