MORE THAN VND 11,800 BILLION INCREASE IN NCB'S CHARTER CAPITAL APPROVED

The State Bank of Vietnam recently authorized the capital expansion of the National Citizen Commercial Joint Stock Bank (NCB). NCB can issue individual shares to raise its charter capital by up to VND 6,200 billion.

NCB's 2023 Annual General Meeting of Shareholders authorized the proposal to enhance charter capital in April 2023, which was then carried out by NCB's Board of Directors in compliance with regulations. The aim of issuing more shares and raising charter capital is to provide extra funds for commercial operations and enhance the financial soundness of the bank.

Accordingly, NCB will issue and offer for sale 620 million shares at a price of VND 10,000/share to increase its charter capital by VND 6,200 billion. If the issuance is successful, NCB's charter capital will increase from VND 5,602 billion to VND 11,802 billion.

Securities Commission of Vietnam, anticipated in the second quarter of 2024 as per the plan. These shares cannot be transferred for one year after the offering is completed.

NCB is responsible for implementing the charter capital increase in accordance with legal regulations and written notification, allowing investors to buy shares of NCB to fully fulfill shareholder obligations in accordance with the provisions of Article 54 and Article 55 of the Law on Credit Institutions, Circular No. 50/2018/TT-NHNN dated December 31, 2018 of the Governor of the SBV and other relevant legal documents.

The increase in charter capital is a favorable indication, providing significant momentum for NCB's thorough and robust transformation process in alignment with the bank's strategic objectives. Especially when NCB is enhancing its technology platform to achieve full digitalization, investing in solutions, products, and services to enhance values for customers, and collaborating with a top strategic consulting organization to implement a new strategy for 2023 - 2028.

The National Citizen Commercial Joint Stock Bank (NCB) undergoes a significant transformation in the year 2023, characterized by comprehensive innovation in both its externals and internal capabilities. NCB also made investments in the construction of a data platform and technology infrastructure in order to launch comprehensive digital products and improve the customer experience. These investments were made concurrently with the strengthening of the apparatus and the participation of a large number of dedicated personnel who have extensive expertise and experience in the financing and banking industry. Presently, NCB has upgraded the T24 core banking system to the most up-to-date version of R21 that is available on the market. This has resulted in an increase in the speed at which customer service is provided, as well as a strengthening of internal management and operations. Digital transformation initiatives are regularly implemented in order to assist customers in having a more streamlined and comfortable experience, such as updating the core card system, implementing the eKYC procedure for opening accounts, and allowing customers to withdraw money from ATMs without using a physical card.

NCB had a grand opening ceremony for its new head office in a prime location in Hanoi in August 2023. The Bank prioritizes creating an optimal working environment with excellent conditions and benefit programs to foster staff growth. It was recognized by the HR Asia Awards as the "Best Companies to Work for in Asia 2023."

NCB's transformations have resulted in several positive signs. In 2023, the bank had its highest customer growth rate in recent years. The data shows that there was a 33% increase in the number of customers at NCB during the first 9 months of the year compared to the same period of the previous year. In 2023, the bank achieved its goal of reaching 1 million customers. By the conclusion of the third quarter of 2023, total capital mobilization from customer deposits at NCB rose by about VND 5,000 billion compared to the end of the previous quarter and by over VND 4,000 billion compared to the end of 2022. The results indicate that customers are growing more confident in NCB's steady, transparent, and advanced operations.

The allocation of financial resources reflects the bank's commitment and proactive steps in the process of restructuring and complete transformation. Simultaneously, it demonstrates NCB's growing competitiveness in the market and NCB's preparedness for a significant advancement in the near future.