CMC is one of the founding shareholders of BaoVietBank, with the contributed capital of VNĐ324 billion (US$14 million) at the end of June this year. — Photo BaoVietBank

HÀ NỘI — The board of directors of CMC Corporation late last week approved divestment at Bảo Việt Commercial Joint Stock Bank (BaoVietBank).

The board authorised Nguyễn Trung Chính, Chairman and CEO of CMC, to carry out procedures to transfer all BaoVietBank shares owned by CMC to other investors.

CMC is one of the founding shareholders of BaoVietBank, with contributed capital of VNĐ324 billion (US$14 million) at the end of June this year.

BaoVietBank was established in January 2009 with initial charter capital of VNĐ1.5 trillion, of which the contributed capital ratios of three founding shareholders Bảo Việt Group, Vietnam Dairy Products Joint Stock Company (Vinamilk) and CMC were 52 per cent, 8 per cent and 9.9 per cent, respectively.

By the end of the first quarter this year, the shareholders were still BaoVietBank’s major shareholders holding more than 5 per cent of the bank’s charter capital, of which Bảo Việt Group owned 49.52 per cent; Vinamilk 14.03 per cent; and CMC 10.3 per cent.

BaoVietBank has recently released information related to its business performance in the first six months of 2019. Accordingly, credit activities played a key role in bringing the bank a profit of nearly VNĐ400 billion, up 49 per cent over the same period of last year.

The bank's net profit from services also rose up by 53 per cent compared to the same period of last year, reaching more than VNĐ43 billion.

By the end of June 2019, BaoVietBank’s total assets reached nearly VNĐ52.16 trillion. The bank’s mobilised capital was VNĐ32.26 trillion while its lending was VNĐ24.98 trillion. The bank’s non-performing loan ratio was more than 3 per cent of total outstanding loans. — VNS