Monday, December 11 2017

VietNamNews

Historic bank merger excites market

Update: August, 10/2012 - 10:18

HA NOI — Stocks rose yesterday on both exchanges, boosted by the announcement of the merger between Sai Gon-Ha Noi Bank (SHB) and Habubank (HBB).

The two banks yesterday held a press conference to officially announce their merger – the first ever merger between two listed banks in the history of Viet Nam's stock market.

Over 4 million HBB shares will be delisted from the Ha Noi Stock Exchange on August 17, and the two banks will complete their share swaps by August 28. Shares of the new bank will be traded beginning September 20.

Both shares hit their ceiling prices at the end of yesterday's session, with SHB closing at VND9,500 per share and HBB at VND5,100.

On the Ha Noi Stock Exchange, the HNX-Index closed up 0.44 per cent to 70.79 points. The value of trades decreased, however, falling 29 per cent from Wednesday's level to VND376.5 billion (US$17.9 million) on trades of 39.5 million shares.

The HNX30 Index, tracking the 30 leading shares by market capitalisation and liquidity, rose 0.65 per cent to 135.98 points.

PetroVietnam Construction (PVX) became the most-active share on a volume of 3.9 million, rising 1.16 per cent to VND8,700 per share.

On the HCM City Stock Exchange, the VN-Index also inched up 0.81 per cent to 426.98 points with the value of trades doubled Wednesday's level, reaching VND728.3 billion ($26.7 million).

The VN30 Index gained 0.96 per cent to close at 508.58 points, with Tan Tao Industry Investment (ITA) most active, with 2.2 million shares traded. ITA closed up by 1.45 per cent to VND7,000 per share. Dairy giant Vinamilk (VNM), insurer Bao Viet Holdings (BVH) and food processor Masan Group (MSN) all saw increases of over 2 per cent each.

Despite positive signs in recent sessions, PetroVietnam Securities Co analysts said the gains merely represented random fluctuations, with the market continuing to lack both buyers and sellers. Benchmark indices on both bourses were heavily affected by changes of large-cap stocks, they noted.

"The economic situation in July did not see any significant improvement to support the stock market," they wrote in a research note. "Recent oil price increases have also exposed this risk factor to investors, with inflation now expected to rise again." — VNS

Send Us Your Comments:

See also: