Banks buy back bonds early

Vietinbank has just completed the early repurchase of VND800 billion worth of bonds. The repurchased bonds have the code CTG1828T2/02, with a face value of VND1 billion/bond, a maturity of 10 years, an issuance date of June 13, 2018 and a maturity date of June 13, 2028.

This week, Agribank will repurchase VND3 billion worth of bonds with the code VBACLH2228002 before maturity. Bondholders are obliged to sell all their bonds back to Agribank, at which point the bonds will be canceled and the bond ownership certificates related to the bonds will automatically expire. Other detailed terms and conditions are according to Agribank's bond issuance announcement dated June 23, 2022. Previously, ACB spent VND10,000 billion to repurchase issued bonds.

Ngân hàng ồ ạt mua lại trước hạn, phát hành trái phiếu mới lãi 9,9%/năm - Ảnh 1. — Bank issues bonds to raise capital

BIDV also announced information on the early repurchase of bonds worth VND1,000 billion. The repurchased bonds have the code BID2128005, with a face value of VND1 billion/bond. The bonds have a term of 7 years, issuance date June 15, 2021 and maturity date June 15, 2028.

Meanwhile, some banks are issuing bonds to raise capital. LPBank officially issued the second batch of bonds to the public in 2022 with a total face value of nearly VND 3,300 billion from now until the end of June. Interest rates are up to 9.6 - 9.9%/year. There are 2 bond codes of VND 100,000, with terms of 7 years and 10 years. Individual investors buy a minimum of VND 20 million, organizations buy a minimum of VND 1 billion.

Vietinbank has also just announced the first bond offering of 50 million bonds, including 20 million CTG2230T2/01 bonds, 8-year term and 30 million CTG2232T2/01 bonds, 10-year term to the public. These are non-convertible bonds, without warrants, and without collateral. The second offering includes 15 million CTG2230T2/02 bonds and 25 million CTG2232T2/02 bonds. Bringing the total number of bonds offered to the public in the two offerings to 90 million. The bond sale period is from now until July 20 through Vietinbank branches and transaction offices. The purpose of VietinBank's issuance and public offering of bonds is to increase the scale of operating capital, increase tier 2 capital and ensure operational safety ratios according to the regulations of the State Bank. At the same time, it aims to carry out lending to the economy (including loans disbursed before and after the bond issuance time).

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