KienlongBank's charter capital of VND 4,231 billion has been approved

DNHN - The State Bank of Vietnam has authorized KienlongBank's request to raise its charter capital by VND 578.4 billion by issuing shares that would pay dividends to current shareholders in 2021.

The State Bank of Vietnam (SBV) has authorized an increase in charter capital for Kien Long Commercial Joint Stock Bank (KienlongBank, KLB/ UPCoM) from 3,652.8 billion VND to 4,231.2 billion VND following the plan adopted by the Annual General Meeting of Shareholders in 2022. Simultaneously, HOSE reported that it had received the registration paperwork for listing KienlongBank shares.

The State Bank of Vietnam authorized KienlongBank's request to enhance its charter capital by VND 578.4 billion by issuing shares to pay dividends to current shareholders in 2021, according to Official Letter No. 5360/NHNN-TTGSNH. As a result, KLB owners will be entitled to a 16 per cent dividend in shares in 2021.

KienlongBank will boost its capital from the bank's leftover after-tax earnings in 2021 after putting aside cash, according to the report accepted at the Annual General Meeting of Shareholders.

Thus, after completing the capital increase processes required by law, KienlongBank's charter capital would be increased from VND 3,652.8 billion to VND 4,231.2 billion in compliance with the Resolution passed by the General Meeting of Shareholders in April 2022.

It is known that KienlongBank will utilize the increased charter capital to grow its scope of operations, improve its financial capability, and increase its market competitiveness. KienlongBank will prioritize investing in and aggressively applying contemporary technology to banking operations, digital-based goods and services, and customer-centricity and customer experience enhancement.

KienlongBank has a target for 2022 of 660 billion dongs in pre-tax profit, 77,700 billion dongs in total mobilized capital, 85 trillion dongs in total assets, and a bad debt percentage under control of less than 2%.

KienlongBank has revealed its business performance during the first six months of 2022. KienlongBank reported VND 221.28 billion in total consolidated pre-tax profit in the second quarter alone, a 115 per cent increase over VND 103.08 billion in the same period the previous year.

PV