YKVN advised Joint Stock Commercial Bank for Foreign Trade of Vietnam on the mandatory acquisition of Construction Bank, one of the first of its kind in Vietnam

YKVN advised the Joint Stock Commercial Bank for Foreign Trade of Vietnam (Vietcombank) on the mandatory acquisition of the 100% State-owned Construction Bank (CB).  This acquisition, part of the government’s plan to restructure underperforming banks currently under the special control of the State Bank of Vietnam (SBV), is one of the first of its kind in Vietnam.

The mandatory acquisition was announced on October 17, 2024. Following the acquisition, Construction Bank (CB) will become a single-member limited liability commercial bank, with Vietcombank owning 100% of its charter capital.  The successful completion of this acquisition is expected to gradually improve CB’s financial condition while providing Vietcombank opportunities to expand its business scale, customer base, and operational network.

According to Vietcombank’s public announcement, this transaction “demonstrates the Government’s and the SBV’s trust in Vietcombank’s reputation, capacity, and experience” and “reinforces VCB’s role in implementing government and SBV policy, contributing to the stabilization of financial and monetary markets, while boosting investor and public confidence in the banking system.”

The YKVN team was led by Partner Duong Thu Ha, with support from Counsel Tran Nhat Quang.

More about the transaction here.

Image: © Vietcombank

For more information, please contact YKVN Marketing Team:

T: (+84-28) 3 822 3155
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