Vietnam's HDBank opens 22 pct above IPO price on market debut

By Reuters   January 5, 2018 | 12:16 pm GMT+7

Those buying shares in the IPO included over 76 foreign investors.

Vietnam’s HDBank made its stock exchange debut on Friday, opening 21.9 percent higher than its initial public offering (IPO) in which the lender raised $300 million.

The stock opened at VND39,000 ($1.72) a share on the Ho Chi Minh Stock Exchange, Thomson Reuters Eikon data showed. That compared with its December 22 IPO price of VND32,000.

The exchange allows a stock to trade within 20 percent of its listing price on its debut, and within 7 percent thereafter.

HDBank, formally Ho Chi Minh City Development Joint Stock Commercial Bank, emerged from the IPO with a value of around VND32.4 trillion ($1.43 billion).

Those buying shares in the IPO included over 76 foreign investors such as Japan’s Credit Saison Co Ltd, Germany’s Deutsche Bank AG and JPMorgan Vietnam Opportunities Fund.

On Tuesday, HDBank said it expects 2017 pre-tax profit of VND2.4 trillion.

The bank’s vice chairwoman is Nguyen Thi Phuong Thao, the billionaire founder and chairwoman of Vietnam’s largest private airline, Vietjet Aviation JSC.