Banks report shareholder list as prescribed

After the Law on Credit Institutions took effect, a number of banks have listed shareholders owning 1% or more of charter capital.

Vietnam Prosperity Joint Stock Commercial Bank (VPBank) became the first bank to implement this regulation. The list of shareholders owning 1% or more of the bank's charter capital includes 13 individual shareholders and 4 institutional shareholders.

VPBank Chairman Ngo Chi Dung and related people currently hold the largest percentage of shares, accounting for 33.648%.

Of which, Mr. Ngo Chi Dung, his wife and mother are the largest shareholders. Mr. Dung and his wife, Ms. Hoang Anh Minh, are holding 4.1411% and 4.1184% of charter capital respectively.

Ms. Vu Thi Quyen (Mr. Dung's mother) holds 4.1075%. In addition, another individual, Tran Ngoc Trung, currently holds 3.84% of VPBank's charter capital.

The list of remaining individual shareholders includes: Tran Ngoc Cam Ly (3.612%), Ly Thi Thu Ha (3.556%), Tran Ngoc Lan (3.9%), Le Minh Anh (2.7%), Nguyen Thu Thuy (2.56%), Le Viet Anh (3.532%), Bui Hai Quan (1.97%) Nguyen Duc Vinh (1.32%), Nguyen Manh Cuong (1.44%).

In which, shareholder Tran Ngoc Cam Ly is the wife of Mr. Bui Hai Quan, Vice Chairman of the Board of Directors.

Another vice chairman, Mr. Lo Bang Giang, is not on the list. However, Mr. Giang’s mother, Ms. Ly Thi Thu Ha, and his wife, Ms. Nguyen Thu Thuy, are on the list, each holding 3.556% and 2.563% of the bank’s charter capital, respectively.

Mr. Nguyen Duc Vinh, general director, currently owns 1.32% of the bank's charter capital and has no related person in the list of 13 individual shareholders mentioned above.

Some of the names on this list are quite secretive: Tran Ngoc Lan, Le Viet Anh, Le Minh Anh. These are not members of the Board of Directors nor are they relatives of the members of the Board of Directors.

In particular, two shareholders Tran Ngoc Lan and Le Viet Anh attracted attention in 2017 when VPBank earned more than 6,400 billion VND after offering nearly 165 million shares to 3 individuals: Ms. Tran Ngoc Lan, Mr. Le Viet Anh and Ms. Nguyen Phuong Hoa.

In addition to 13 individual shareholders, the list of shareholders owning 1% of VPBank's charter capital also includes 4 institutional shareholders, including: Sumitomo Mitsui Banking Corporation (15.0052%); Diera Corp JSC (4.3957%); Composite Capital Master Fund LP (2.7301%) and Vietnam Enterprise Investments Limited (1.2839%).

VPBank building plan 1.jpg
VPBank currently has the largest charter capital in the system. Photo: VPBank

According to the revised Law on Credit Institutions effective from July 1, the ownership ratio of institutional shareholders in a bank (including shares that such shareholders indirectly own) is a maximum of 10% (the old regulation was 15%); shareholders and related persons own a maximum of 15% of shares (the old law was 20%).

Vietnam Technological and Commercial Joint Stock Bank (Techcombank) has also just announced the list of shareholders holding 1% or more of charter capital. This list includes 13 shareholders, including 6 individuals and 7 organizations holding 1.84 billion shares, equivalent to 52.265% ownership of the bank.

According to the published list, 4 foreign funds including the Singapore Government Investment Fund owns more than 1% and Morgan Stanley & Co. International Plc 1.45%; COG Investment I BV and related parties hold 7.9%; Vesta VN Investments BV and related parties hold 7.9%; Masan Group Corporation and related parties hold 15.2% of this bank's capital.

In addition, there is also a business called Mapleleaf LLC, specializing in settlement consulting, which owns up to 4.96% of the bank's capital.

Some individuals holding more than 1% of the capital are related to Mr. Ho Hung Anh, Chairman of Techcombank, and family members.

Specifically, the wife of the chairman of Techcombank holds nearly 5%, and her relatives, including individuals and organizations, own more than 980 million shares, equivalent to 27.8% of the bank. Mr. Ho Hung Anh, Chairman of Techcombank, holds more than 1.1% of the charter capital. His three children hold nearly 12% of the shares.

According to the list just announced by Vietnam Export Import Commercial Joint Stock Bank (Eximbank), there are 3 institutional shareholders and 2 individual shareholders owning 1% of the bank's charter capital.

Of which, Gelex Group Corporation is the largest shareholder holding 4.9% of charter capital. Next is VIX Securities Corporation holding 3.58% of charter capital and Thang Phuong Corporation holding 3.07%.

The two individual shareholders on the announced list are Ms. Le Thi Mai Loan (1.03%) and Vice Chairwoman of the Board of Directors Luong Thi Cam Tu (1.12%).

It is known that Ms. Le Thi Mai Loan and Thang Phuong JSC are shareholders related to the Bamboo Capital shareholder group. Ms. Loan was known as a member of the Board of Supervisors of Bamboo Capital and Permanent Vice President of BCG Land JSC, and also a founding shareholder of Thang Phuong Company.

Ms. Loan resigned from her position as a member of Eximbank's Board of Directors in early 2024. Bamboo Capital's presence at Eximbank is also reflected in the fact that Mr. Nguyen Ho Nam, former Chairman of Bamboo Capital, is currently Vice Chairman of Eximbank's Board of Directors.

The Joint Stock Commercial Bank for Industry and Trade of Vietnam (BVBank) has also announced the list of 9 individual shareholders owning 1% or more of the charter capital. These 9 shareholders and their related parties currently hold a total of 19.6% of BVBank's charter capital.

Ms. Nguyen Thanh Phuong, Vice Chairman, is currently the largest shareholder with an ownership ratio of nearly 4.56%. Next is Mr. Nguyen Quang Trung, Vice Chairman of the Board of Directors and General Director with 3.12%.

BVBank Chairman of the Board of Directors Le Anh Tai owns 2.86% of shares. Mr. Nguyen Nhat Nam, member of the Board of Directors, and related persons own more than 2% of capital. Mr. Nguyen Thanh Tu, Deputy General Director, and related persons own 2.11% of the bank's capital.

In addition, BVBank's deputy general directors and chief accountants, including Mr. Phan Viet Hai, Mr. Le Van Be Muoi, Mr. Van Thanh Khanh Linh and Ly Cong Nha, each own about 1-1.5% of shares.

Asia Commercial Joint Stock Bank (ACB) announced the list of shareholders owning more than 1% of the bank's charter capital, including 2 individuals and 3 organizations.

ACB Chairman Tran Hung Huy is the largest individual shareholder, holding 3.427%, while those related to Mr. Huy own 8.218%.

Ms. Dang Thu Thuy, a member of the Board of Directors and also the mother of Mr. Tran Hung Huy, currently holds 1.194%. The ownership ratio of people related to Ms. Thuy is 10.457%.

The three domestic institutional shareholders on the list that must be reported are: Giang Son Investment and Trade JSC holding 2.07%; Van Mon Investment and Trade JSC holding 1.14%; and Bach Thanh Investment and Trade JSC holding 1.44%.

In addition, three foreign organizations, Smallcap World Fund, Inc., Boardwalk South Limited and VOF PE Holding 5 Limited, hold a total ownership ratio of more than 6% of ACB's charter capital.

What happens to shareholders who own more than the prescribed ratio?

Previously, banks only had to disclose information about major shareholders holding 5% or more of capital or information about leaders and related persons. However, according to the revised Law on Credit Institutions, which took effect from July 1, banks must also disclose information about shareholders holding 1% or more of charter capital.

At the same time, the list of related persons, for both individuals and organizations, is also much more extensive than before. The new law also reduces the ownership limit for institutional shareholders (including shares that such shareholders indirectly own) from 15% to 10%; shareholders and related persons from 20% to 15%.

The question is whether shareholders who own shares exceeding the share ownership ratio prescribed in the Law on Credit Institutions 2024 can continue to maintain their shares or not?

According to Clause 11, Article 210 of the Law on Credit Institutions 2024 on transitional provisions for the provisions in Article 63 of the Law on Credit Institutions 2024 as follows:

“From the effective date of this law, shareholders, shareholders and related persons owning shares exceeding the share ownership ratio prescribed in Article 63 of this law shall continue to maintain their shares but shall not increase their shares until they comply with the provisions on share ownership ratio as prescribed in this law, except in the case of receiving dividends in shares.

The maximum shareholding ratio of a major shareholder, a shareholder and related persons at a commercial bank performing defense service tasks exceeding the shareholding ratio prescribed in Article 63 of this Law before the effective date of this Law shall continue to maintain the shareholding ratio in accordance with the provisions in Clauses 2, 3 and 4, Article 55 of the Law on Credit Institutions No. 47/2010/QH12, which has been amended and supplemented by a number of articles under Law No. 17/2017/QH14.”

Thus, shareholders who have owned shares exceeding the permitted share ownership ratio before July 1, 2024 may continue to maintain their shares but may not increase their shares until they comply with the regulations on share ownership ratio as prescribed by the Law on Credit Institutions 2024, except in the case of receiving dividends in shares.