UOB completes acquisition of Citigroup’s consumer banking in Vietnam
Singapore bank UOB said Wednesday it has finished the acquisition of Citigroup’s consumer banking business in Vietnam, which includes the transfer of about 575 Citigroup-related staff members to UOB Vietnam.
The consumer business includes Citigroup’s unsecured and secured lending portfolios, wealth management and retail deposit businesses.
The deal follows UOB’s completions in Thailand and Malaysia in November 2022. Its acquisition of Citigroup’s Indonesian consumer banking business is set for completion by end-2023.
UOB’s acquisitions in the four markets are expected to further strengthen and scale up its franchise in Southeast Asia. Once completed, the acquisitions in the four markets will double UOB’s existing retail customer base and add 5,000 staff members to its workforce.
“We look forward to accelerating the expansion of our retail business in Vietnam, which is one of the fastest-growing economies in the region,” said UOB deputy chairman and CEO Wee Ee Cheong.
“With the addition of new colleagues, we have a stronger team to drive our ambition to be a truly regional bank that helps our customers achieve their financial aspirations,” he said.
Both UOB and Citigroup did not disclose the total transaction value for the four ASEAN markets or for each. However, UOB said in January 2022 that Citigroup had agreed on the entire transaction for about $3.7 billion.
UOB Vietnam announced Wednesday it has made senior appointments to drive its enlarged retail business in the market. Fred Lim was named as head of retail transformation, channels and digitalization, and business banking. Paul Kim was appointed as head of personal financial services, also at UOB Vietnam.
The Singapore major bank said UOB Vietnam has worked closely with Citigroup Vietnam to ensure a seamless transition for customers, which is expected to take 12 to 18 months as UOB works towards a full system integration.
During the transition period, Citigroup Vietnam’s consumer banking customers can expect a continuation in the product offerings, services and benefits. They can also look forward to a wider range of solutions and offers from UOB’s larger franchise, the Singapore bank added.
Existing UOB Vietnam customers will also benefit from an expanded suite of unsecured products, including credit cards and unsecured personal loans, which complement UOB’s existing lending solutions.
Victor Ngo, CEO of UOB Vietnam, said, “The acquisition of Citigroup’s consumer banking business in Vietnam comes at the right time and reinforces our long-term strategy and commitment to the market. The potential for the people and businesses in Vietnam is tremendous as it is an economy of rapid growth and transformation, coupled with swift digital adoption.”
As one of the fastest-growing economies in ASEAN, Vietnam is a strategic market for UOB as the bank continues to intensify its focus and investment in the region, the international lender highlighted.
For its retail business in Vietnam, UOB is looking forward to offering consumers from the middle-income to affluent and high-net-worth segments an improved suite of banking products. UOB Vietnam will also build digital capabilities as part of investing in its omnichannel strategy which ensures customers’ myriad banking needs and preferences are met.
- Read More
Vietnam’s Masan MEATLife posts $4.14 million in Q3 after-tax profit
Masan MEATLife (MML), a subsidiary of Vietnamese consumer retail giant Masan Group, recorded net profit after tax and pre-minority interest (NPAT Pre-MI) of VND105 billion ($4.14 million) in the third quarter of 2024.
Companies - Tue, October 29, 2024 | 3:25 pm GMT+7
Vietnam’s PV Gas, Russia’s Zarubezhneft to further core area cooperation
PV Gas, under state-owned Petrovietnam, and Russia’s state-owned Zarubezhneft will further cooperate in oil-gas and energy activities, the former said on Monday.
Energy - Tue, October 29, 2024 | 3:05 pm GMT+7
Vietnam steel major Hoa Phat’s net profit may reach $1 bln with new mill
Hoa Phat Group, which claims to be the biggest steel producer in Vietnam and Southeast Asia, may record a net profit of VND20-25 trillion ($793-991 million) when its new mill in the central region becomes fully operational, according to Vietcombank Securities (VCBS).
Companies - Tue, October 29, 2024 | 2:42 pm GMT+7
IFC plans $200 mln loan to LG Innotek Vietnam
The International Finance Corporation (IFC), the private sector arm of the World Bank Group, plans to make a sustainability-linked loan (SLL) of up to $200 million to LG Innotek Vietnam Haiphong Co., Ltd.
Finance - Tue, October 29, 2024 | 10:11 am GMT+7
Vietnam banks' earnings outlook ‘relatively positive’: PYN Elite Fund
The Q3/2024 earnings growth of Vietnam’s listed companies will likely settle around 20-30% and banks’ earnings outlook for the next 12 months is also relatively positive, said the Finland-based PYN Elite Fund.
Finance - Tue, October 29, 2024 | 9:39 am GMT+7
Chinese e-commerce giant Temu's Vietnam entry: unfair competition or market economy norm?
Vietnam's social media is currently inundated with ads from Temu, the e-commerce platform under China’s PDD Holding, showcasing a diverse array of products – from electronic chips to refrigerator mats – at discounts of up to 90%, and raising concerns about its strategy and compliance.
Opinion - Tue, October 29, 2024 | 7:55 am GMT+7
China’s BYD to repair Apple tablets with $375 mln northern Vietnam project
Chinese giant BYD is set to repair Apple tablets at its factory in Vietnam’s northern province of Phu Tho.
Industries - Mon, October 28, 2024 | 10:27 pm GMT+7
Singapore spends $270 mln on AI infrastructure, human resources
Singapore’s National Research Foundation (NRF) will allocate $270 million to the National Supercomputing Centre (NSCC) in the next three years to train specialists and develop next-gen supercomputers in order to boost AI through supercomputing talent and infrastructure.
Southeast Asia - Mon, October 28, 2024 | 10:21 pm GMT+7
Malaysia to leverage 2025 ASEAN chairmanship to advance regional carbon initiatives
Malaysia’s ASEAN 2025 chairmanship provides the best opportunity to promote carbon trading and carbon credits among its member countries, says Sarawak’s Deputy Minister of Energy and Environmental Sustainability Datuk Dr Hazland Abang Hipni.
Southeast Asia - Mon, October 28, 2024 | 10:20 pm GMT+7
Vietnam, UAE elevate relations to comprehensive partnership
The United Arab Emirates (UAE) has become Vietnam's first comprehensive partner in the Middle East, underscoring the two nations' commitment and high expectations for a strengthened, practical and effective collaboration.
Politics - Mon, October 28, 2024 | 10:16 pm GMT+7
UAE plans to hold conference to promote investment into Vietnam: minister
The United Arab Emirates (UAE) has plans to organize a large-scale conference in Vietnam to canalize investment from the UAE and elsewhere into the Southeast Asian country, says a minister.
Investing - Mon, October 28, 2024 | 5:41 pm GMT+7
Sustainable packaging key focus area in Suntory PepsiCo Vietnam growth strategy: exec
Suntory PepsiCo Vietnam is actively promoting various initiatives in sustainable packaging as a key focus area in its development strategy, says Do Thai Vuong, deputy general director in charge of external affairs and communications.
Companies - Mon, October 28, 2024 | 5:02 pm GMT+7
Nuclear power Vietnam’s choice to ensure sufficient energy: country top leader
Nuclear power is the path for Vietnam to ensure sufficient electricity supply by 2045, Party General Secretary To Lam said Saturday at the ongoing National Assembly session.
Energy - Mon, October 28, 2024 | 4:33 pm GMT+7
Vietnam Electricity’s northern unit seeks German support in finance, technology
Northern Power Corporation (EVNNPC), a unit of state utility Vietnam Electricity, is seeking further support from the German government and state-owned German development bank KfW to reach sustainable growth.
Energy - Mon, October 28, 2024 | 4:16 pm GMT+7
Leading UAE firms plan to expand investment cooperation in Vietnam
Four leading UAE corporations collaborating with Vietnamese firms have plans to expand investment cooperation in the country, executives told Prime Minister Pham Minh Chinh in Abu Dhabi Sunday.
Industries - Mon, October 28, 2024 | 3:53 pm GMT+7
Real estate developer Nam Long achieves only 3% of year's profit target
Nam Long Group, a major real estate developer in southern Vietnam, recorded an after-tax profit of VND15.5 billion ($610,345) in the first nine months of 2024, reaching only 3% of its annual target.
Companies - Mon, October 28, 2024 | 3:00 pm GMT+7
- Consulting
-
Remove roadblocks to lure foreign investment into Vietnam: HSBC exec
-
Rethinking resilience: How typhoon Yagi redefines supply chain strategies in northern Vietnam
-
In trade and investment, ASEAN and China are better together
-
AI can be a game changer for Vietnam tourism
-
Investment opportunities in LNG-to-power projects in Vietnam
-
Pepper prices 2024: will the dream of 'black gold' repeat?