SHB Finance approved to convert legal form

On April 25, the State Bank of Vietnam officially approved the conversion of legal form and granted a new establishment and operation license to Saigon - Hanoi Commercial Joint Stock Bank Finance Company Limited ( SHB Finance) in the process of transferring capital to Krungsri Bank of Thailand.

Specifically, SHB Finance was officially converted from Saigon - Hanoi Commercial Joint Stock Bank One Member Limited Liability Finance Company to Saigon - Hanoi Commercial Joint Stock Bank One Member Limited Liability Finance Company.

Saigon - Hanoi Commercial Joint Stock Bank Finance Company Limited has a charter capital of VND 1,000 billion, of which Saigon - Hanoi Commercial Joint Stock Bank (SHB) owns 50% and Ayudhya Public Company Limited (Krungsri) of Thailand owns 50% of the charter capital. Information about the company's headquarters and business type remains unchanged.

This is one of the final steps in the roadmap for transferring SHB's charter capital at SHB Finance to Krungsri - a strategic member of MUFG Group (Japan).

According to research, SHB Finance has a charter capital of 1,000 billion VND, 100% owned by SHB Bank. Before the merger, SHB Finance was formerly Vinaconex Viettel Finance Company.

Krungsri is the fifth largest financial group in Thailand in terms of total assets, outstanding loans, deposits and is a member of Mitsubishi UFJ Financial Group (MUFG) Japan with a holding ratio of 76.88% of capital. MUFG is also a strategic shareholder owning nearly 20% of VietinBank's capital.

SHB Finance was officially converted into Saigon - Hanoi Commercial Joint Stock Bank Finance Limited Liability Company.

Previously, the State Bank of Vietnam also issued a document approving the principle of converting the legal form and the list of personnel expected to be appointed as members of the Board of Members, members of the Supervisory Board for the 2022-2025 term and General Director of SHB Finance, including members from SHB and Krungsri.

According to the agreement signed in early August 2021, SHB will transfer 50% of SHB Finance's charter capital to Krungsri and will continue to transfer the remaining 50% after 3 years. The first transfer ceremony of 50% of charter capital is expected to be held in May 2023.

Mr. Do Quang Vinh - Vice Chairman of the Board of Directors and Deputy General Director of SHB shared that the capital transfer to Krungsri Bank will bring significant surplus to SHB shareholders, creating more resources for the bank to continue to strengthen its financial capacity and fundamental factors.

Ms. Olena Khlon - Permanent Deputy General Director of SHB Finance said: "The consumer finance market in Vietnam still has a lot of potential. With good management and operation of the Government, Vietnam is currently an ideal destination for foreign investors" .

Source: https://www.nguoiduatin.vn/shb-finance-duoc-chap-thuan-chuyen-doi-chuyen-doi-hinh-thuc-phap-ly-a605101.html