On December 06, 2021, the State Bank of Vietnam (SBV) issued Document No. 8570/NHNN-TTGSNH allowing Ho Chi Minh City Development Joint Stock Commercial Bank (HDBank) to increase its charter capital.
Specifically, the SBV has approved of HDBank's request to increase its charter capital by the maximum amount of VND 200,000,000,000 (Two hundred billion Vietnamese Dongs) through the means of issuing additional shares to the Bank's employees according to the charter capital increase plan adopted by HDBank's Shareholders General Meeting in Resolution No. 07/2021/NQ-DHDCD dated April 23, 2021 and Resolution No. 18/2021/NQ-DHDCD dated September 16, 2021, and approved by HDBank’s Board of Directors in Resolution No. 23/2021/NQ-HDQT dated October 19, 2021.
In the above-mentioned Document, the SBV also requested HDBank's Board of Directors to increase the charter capital in compliance with the applicable legal regulations, including the limits on share ownership of shareholders and their related people as stated in the 2010 Law on Credit Institutions (as amended and supplemented in 2017), and the SBV's guiding documents after having completed the charter capital increase.
HDBank shall have to conduct the charter capital increase in conformity with the applicable laws.
HDBank is requested to inform in writing to make sure that all organizations and individuals buying HDBank’s additional shares will be committed to full understanding and fulfillment of the shareholders' duties as prescribed in Article 54 of the 2010 Law on Credit Institutions (as amended and supplemented in 2017) and Article 12 of Circular No. 50/2018/TT-NHNN dated December 31, 2018 issued by the SBV Governor stipulating the dossiers, sequences and procedures for requesting approval of a number of revised substances by commercial banks, foreign bank branches, as well as other relevant provisions of law, including such duties as: taking responsibility before the law for the legality of the capital used for their contributions, purchases and transfers of HDBank's shares; not using any capital source provided by a foreign credit institution or a foreign bank branch to buy and receive transferred shares of HDBank; not contributing capital or purchasing shares of HDBank in the name of another individual or legal entity in any form, except in the case of entrustment as prescribed by law; shareholders who receive entrusted investment on behalf of another organization or individual must provide HDBank with the information about the actual owner of the shares as entrusted by that investment. HDBank reserves the right to suspending the shareholder rights of any shareholder in case the Bank discovers that they do not provide authentic information about the real owner of those shares.
Within a maximum of 10 working days from the completion date of the issuance of the new shares in accordance with the laws, HDBank is requested to implement the procedures for revising its License as prescribed for in Paragraph 2 of Article 12 of Circular No. 50/2018/TT-NHNN dated December 31, 2018 issued by the SBV Governor stipulating the dossiers, sequences and procedures for requesting approval of a number of revised substances by commercial banks, foreign bank branches.
This Document is valid within 12 months from the date of its signing.
LK