Military Joint Stock Commercial Bank (MB, stock code: MBB) ended the purchase of its treasury shares by the afternoon of February 27. HCM City Stock Exchange (HoSE)’s statistics showed that this bank bought less than half of the registered shares.
Specifically, MB purchased approximately 46.81 million shares on a total of over 108 million shares registered to buy, equivalent to 43 percent of its plan. The number of shares purchased in only February 27 was 6.32 million.
MB announced the purchase on January 19 and started buying its treasury shares from January 29. In the past month, MB’s share price peaked to 22,900 dong per share, nearly 16 percent higher than the price before the announcement date (January 18). However, after a strong increase at the beginning, it moved sideways and rarely exceeded the resistance level of 22,000 dong.
The amount that MB spent on buying its treasury shares is estimated not to be higher than 1,030 billion dong.
After this purchase, the ratio of foreign investors’ ownership on total outstanding shares increased slightly to 20.44 percent. However, the ratio of foreign ownership on the total charter capital remained unchanged (at 20 percent).
MB reported its pre-tax profit in 2018 to be 7,767 billion dong, increasing by 68 percent compared to 2017. By the end of 2018, MB’s total assets reached 362,361 billion dong, up 15.4 percent compared to the beginning of the year. Outstanding loans and deposits climbed by 16.2 percent and 9 percent respectively.
In 2019, MB sets the target of total assets to reach 390,000 billion dong, capital to increase by 12 percent and outstanding loans up to 15 percent (or in accordance with the State Bank of VietnamSBV regulations). The bank sets a target of 20 percent increase in profit before tax and bad debt below 1.5 percent.
The bank is expected to hold the annual general Meeting of Shareholders in April 2029. One of the important contents of the meeting this year is the election of the Board of directors and the Supervisory Board for the new term of 2019-2024. Therefore, the bank will also close the list of nominated candidates for election on same day.
