Bank for Investment and Development of Vietnam (BIDV) said it had sold out VND2.03 trillion worth of corporate bonds with terms of 2-3 years. This is the biggest issuance of corporate bonds in Vietnam dong this year and is the first bond sale by BIDV in 2012. The bonds are unsecured and not secondary debts of the issuer. BIDV will use the money raised from the bond sale to supplement its middle- and... 

Issuing bonds to raise capital has become popular among listed companies amid a declining stock market, but many investors are concerned about the associated risks. Last month the Tan Hoa (Viky) Plastics Co (VKP) approved a VND40 billion (US$1.9 million) convertible bond issue, even though it has incurred losses for two successive years and is on the verge of bankruptcy. VKP shares are trading at just... 

The domestic corporate bond market has been stagnant since early this year with a small number of bonds sold and no successful bond issues. Meanwhile, the total corporate bonds issued successfully in 2010 was worth VND60 trillion, in which enterprises collected VND25 trillion and the rest belonged to credit institutions. “Some bond sales have lasted for months but cannot be closed due to high interest... 

Twelve institutional investors who bought VND2 trillion (US$95.2 million) worth of one-year convertible bonds from Saigon Securities Inc (SSI) last year are reluctant to convert the bonds into common shares due to the dwindling value of SSI share prices on the market. SSI closed yesterday’s trades at just VND21,400 (about $1) per share, but investors who opted to convert the bonds to shares would... 

HCMC – IFC, a member of the World Bank Group, has invested US$40.5 million in An Binh Commercial Bank, or ABBank, through a bond purchase. The investment package comprises the purchase of 24-month convertible bonds worth VND480 billion and the bank’s 24-month corporate bonds worth VND312 billion. Vu Van Tien, chairman of ABBank, said at a ceremony for handing bond certificates to foreign investors... 

In response to the last year’s defaults by troubled state-owned shipbuilder Vinashin, the government has issued a new regulation requiring all enterprises issuing corporate bonds under a government guarantee to first have their plans appraised by the Ministry of Finance and approved by the Prime Minister. Decree No 01/2011/ND-CP requires these enterprises to disclose three consecutive years of... 

HANOI – The Vietnam Bond Market Association (VBMA) representing 60 members active on the bond market has written to the Ministry of Finance asking for a loosening of rules in a forthcoming decree on corporate bond sales. The Ministry of Finance is composing a draft decree replacing Decree 52 issued in 2006 on corporate bond issuances. The association suggests that the ministry consider allowing enterprises... 

More and more businesses are trying to issue corporate bonds in order to raise capital for their investment projects.  The bond market has developed strongly, but experts say it still has many problems. Do Ngoc Quynh, Secretary General of the Bond Market Association told Dau tu (Investment) newspaper that businesses nowadays have a deep knowledge of the bond market and they are more capable of raising... 

For most property developers, where and how to raise enough funds to develop their projects is challenging. They currently have to seek capital through bank loans, and cooperation with strategic partners and homebuyers. Le Chi Si, director of strategy for Thu Duc Housing Development Corporation, also known as Thuduc House, highlighted the important role of capital at an investment conference held...