Sai Gon - Ha Noi brokerage plans $26m bond issue

The bonds, with the face value of VND1 billion each, have a two-year maturity period and no pledged collateral.

The interest rate for the first six months is fixed at 8 per cent per year and rates for the next six-month terms will be floated based on the average deposit interest rates of four banks -- BIDV, Vietcombank, Vietinbank and Agribank -- plus a margin of 1.5-2.5 per cent per year.

The issue will be offered in a private placement this month.

The brokerage firm is expected to collect VND600 billion to supply capital for the company’s margin lending activity.

In the last quarter of 2016, Sai Gon-Ha Noi Securities (sticker SHS) unexpectedly surpassed Saigon Securities Inc (SSI) to become the leading brokerage with the highest market share on the Ha Noi Stock Exchange.

The company’s share price has climbed by 67 per cent this year to VND7,700 per share.

Last year, the company posted VND86 billion net profit.

bizhub

>   NDP: Notice of issuing bonds to the public (14/03/2017)

>   NDP: Notice of Record Date of Registering to Buy Transferred Bonds Offered to Outstanding Shareholders (14/03/2017)

>   NDP: Notice of Record Date of Registering to Buy Transferred Bonds Offered to Outstanding Shareholders (14/03/2017)

>   State Treasury to issue fewer bonds in 2017 (01/03/2017)

>   IB Securities to issue $26.67m of bonds (21/02/2017)

>   Govt mobilises $916 million through G-bond auctions (18/02/2017)

>   DC4: Report on results of issuing convertible bonds (15/02/2017)

>   Life insurance firms bought most long-term Government bonds (10/02/2017)

>   Vietcombank Securities to issue $8.89b of bonds (08/02/2017)

>   Treasury to issue US$11.1bn in bonds, less than last year (07/02/2017)