Military Bank to increase chartered capital next year

The move, to take place in two phases starting December 29, was approved this month by the bank's shareholders.

The shareholders also voted to pay this year's dividend in the form of shares. Existing shareholders would receive new shares in a quantity equal to 42 percent of total shares issued before January 1, 2006, owned by each shareholder as of December 28, 2006.

Shareholders who own shares issued after January 1,2006, will receive new shares upon their ownership period with the rate of 3.5 percent per month of the total number of existing shares.

Military Bank additionally plans to issue 1 trillion VND (62.5 million USD) worth of convertible bonds in 2007. The capital it raised would be used to build the competitiveness of the bank.

A detailed plan for increasing the bank's capital will be discussed at the annual shareholder's meeting scheduled to take place in March 2007.

This month, the bank launched a 1 billion VND (62,500 USD) promotional campaign with tours to Europe among the prizes.

Source: Vietnam News, 27 Dec 2006