The acquisition gives Public Bank Vietnam the opportunity to expand its financial services offerings in Vietnam by incorporating securities trading services.
The acquisition gives Public Bank Vietnam the opportunity to expand its financial services offerings in Vietnam by incorporating securities trading services.Public Bank’s acquisition of RHB Securities Vietnam is expected to boost the group’s future earnings and enhance its presence in Vietnam.
PETALING JAYA: Public Bank Bhd ’s wholly-owned subsidiary, Public Bank Vietnam Ltd , has entered into a sale and purchase agreement with RHB Investment Bank Bhd to acquire 100% equity interest in RHB Securities Vietnam Co Ltd for RM72.55 million. In a filing with Bursa Malaysia, PBB said the proposed acquisition is in line with PBVN’s business objectives and growth strategies to expand its operational capabilities in Vietnam. “As such, the proposed acquisition presents an opportunity for PBVN to expand its financial services offerings in Vietnam with the inclusion of securities trading services. “Upon completion of the proposed acquisition, PBVN intends to leverage on its existing client base to grow the securities trading business,” it said. The bank noted that the proposed acquisition is also expected to further strengthen the presence of the group in Vietnam as well as provide synergy to its Indo-China operations. “PBB Group has an existing securities trading arm in Cambodia, namely Campu Securities Plc, which is a wholly-owned subsidiary of Cambodian Public Bank Plc, which in turn is a wholly-owned subsidiary of PBB. “Barring any unforeseen circumstances, the proposed acquisition is expected to contribute positively to the future earnings of the PBB Group,” it said. At the close of trading, Public Bank’s share price was up by 2 sen or 0.45% at RM4.43, giving it a market capitalisation of RM85.99 billion. Meanwhile, RHB Bank’s share price was up 1 sen or 0.18% at RM5.63 with a market capitalisation of RM24.13 billion.