FIDES (VIETNAM) Market Statistics 5/6 – 9/6/2023

Market Summary
	Change	Trading Volume	Trading Value	Foreign net buy/sell
	(%)	Average daily trading volume (mil.shares)	Average daily trading value (mil.USD)	Net trading value (mil.USD)
HSX	1.53%	986.64	773.05	(20.47)
VN30	1.28%	259.45	277.74	(20.55)
HNX	0.69%	132.34	87.67	3.86
Upcom	0.27%	81.72	37.51	(7.52)

Source: Fiinpro

Sector Performance (HOSE + HNX, %)

Source: Fiinpro

Foreign Top buy/sell (HOSE + HNX, mil.USD)

Source: Fiinpro

News

Economy- Society

GDP 2023

• World Bank downgraded Vietnam’s GDP forecast for 2023 and 2024 by 0.3% to 6.0% and 6.2%, respectively compared to their report in Jan-2023.

Public Investment

• According to The Ministry of Finance (MoF), 5M2023 public disbursement reached $6.68 bn, completing 20.8% target year (higher than 20.67% of 5M2022) and 22.22% of the Prime Minister’s plan. (Source: MoF)

Trade Balance 5M2023

• In May 2023, exports of $29.05 bn (+4.3% mom, -6.04% yoy) and imports of $26.81 bn (+6.4% mom, -17.8% yoy) resulted in a trade surplus of $2.24 bn. 5M2023, exports of $136.17 bn (-11.6% yoy) and imports of $126.37 bn (-17.9% yoy) translated into a trade surplus of $9.8 bn. (Source: Custom)

Company- Sectors

FTSE Vietnam Index Q2/2023 review results

• The FTSE Vietnam Index announced its quarterly Q2/2023 review. Accordingly, in this review the FTSE Vietnam Index chose not to add any stocks to the basket and removed NVL.
• Therefore, the FTSE Vietnam ETF, which tracks to FTSE Vietnam Index as benchmark, needs to sell approx. 9.8 mn NVL shares. The implementation date and effective date are 16 Jun and 19 Jun, respectively.

Banking sector

• As of 31 May 2023, credit growth has reached 3.17% ytd. At state-controlled commercial banks (account for 44% of the market share), credit growth reached only 35% of the quota assigned by the central bank while joint stock commercial banks reached 50%.
• Almost all banks in Vietnam have cut deposit rates:
  • Out of the total 35 banks, only five banks are keeping their 12-month deposit interest rate at 8-8.2% including VIB (8.2%), BaoVietBank (8.1%), ABBank (8.1%), GPBank (8.02%) and NCB (8%). Lower interest rates are seen at other banks, including OCB (7.9%); SCB and VietABank (7.8%); VietBank, OceanBank, BacABank, PVCombank (7.7%).
  • To six-month deposits, NCB offers the highest interest rate of 7.95% per year, followed by GPBank (7.92%), ABBank (7.8%), SCB (7.75%) and VietBank (7.7%). Meanwhile, BaoVietBank, Oceanbank, BacABank, VPBank are offering the same rate of 7.5% for six-month deposits.
  • State-owned commercial banks also simultaneously cut deposit interest rates. Highest interest rates at BIDV (BID), Vietcombank (VCB), VietinBank (CTG) and AgriBank were reduced from 7.2%/year to 6.8%/year, applicable for terms of 12 months or above, while the interest rate for deposits with terms of 6-9 months also decreased from 5.8 – 5.9%/year to 5.5%/year.

Brokerage

• There were 104,624 retail accounts opened in May 2023 (-78.04% yoy and +4.6x mom), reaching a new peak in the last 9 months since August 2022. 5M2023, there were 266,234 retail accounts opened, down 81% yoy.

• According to The State Securities Committee (SSC), as of Apr 2023, total market capitalization (HSX, HNX, Upcom) reached 60.89% of 2022 GDP. The total number of securities accounts recorded was over 7 million, which surpasses the 2020-2025 government target of 5% of the population.
• SSC said that it is accelerating the operation of the KRX infrastructure in order to facilitate the deployment of new products and services on the stock market and ensure the smooth, continuous, safe and efficient operation of the market. (Source: VSD)

Autos sector

• The MoF proposes to reduce the domestic car registration fee by 50%. Expected effectiveness is from 1 Jul to 31 Dec 2023.

Agri sector

• De Heus (Netherlands) and Hung Nhon Group signed a memorandum of understanding to build a $107 mn high-tech agricultural complex in Tay Ninh province (southern). The complex will include facilities for high-tech livestock farming, high-tech cultivation, livestock slaughtering and processing, material production for animal feed, and a breeding research center.
• De Heus acquired MNS Feed (14 animal feed plants) from Masan MEATLife in 2021.

F&B sector

• Suntory Pepsico Vietnam Beverage plans to put its $188.5 mn factory in Long An province into operation in Q1/2026.
• The 20-hectare plant in Huu Thanh Industrial Park will have an annual output of 796 million litters of products, including beverages, purified water, milk, and others.

HPG (Hoa Phat Group JSC)

• In May 2023, construction steel sales volume reached 284,000 tons (+33% mom and -27% yoy) and HRC volume reached 243,000 tons (1.5% mom and +19% yoy). Steel pipe and steel sheet volume reached 57,000 tonnes (+12% yoy) and 34,000 tonnes (+107% yoy), respectively.
• 5M2023: construction steel sales volume reached 1.36 million tons (-33% yoy) and HRC reached 965,000 tons (-21% yoy). In addition, HPG sold 266,000 tons of steel pipes (-14% yoy) and 136,000 tons of steel sheet (-11% yoy). (Source: HPG).

VCB (Bank for Foreign Trade of Vietnam)

• CEO of Construction Bank (CB) stated Vietcombank will become the parent bank of CB in the next 6 months. The Politburo has approved this decision recently and the bank is getting ready to be transferred to VCB.

HDB (Ho Chi Minh City Development Joint Stock Commercial Bank)

• The SBV (State Bank of Vietnam) approved HDB to pay 15% stock dividend (2022). Charter capital will increase from $1.08 bn to $1.24 bn. (Source: HDB)

OCB (Orient Commercial Joint Stock Bank)

• The SBV approved OCB to increase capital from $289.36 mn to $874.38 mn by issuing shares to existing shareholders. OCB will issue more than 684.94 million shares to existing shareholders, a ratio of 50%. (Source: OCB)

LPB (Lien Viet Post Joint Stock Commercial Bank)

• The SBV approved for LPB to increase capital from $735.8 mn to $1.22 bn via:
  • Issuance of 328.53 million shares (ratio:19%) to pay dividend.
  • Issuance to existing shareholders of 500 million shares.
  • Private placement to foreign shareholders of 300 million shares.
  • Issuance of 10 million ESOP shares. (Source: LPB)

VND (VNDirect Securities Corporation)

• VND proposed to issue 585 million shares, increasing its charter capital from $518.2 mn to $766 mn, including:
  • Private placement of 244 million shares to 1-5 investors. Lock up 1 year.
  • Issuance of 24 million ESOP shares (2% OS) at 10,000 VND/share.
  • Issuance of 12 million bonus share (1% OS).
  • Issuance 244 million shares to existing shareholders at 10,000 VND/share (ratio 5:1)
  • Issuance of 61 million shares to pay stock dividend (ratio 5%). (Source: VND)

VIC (Vingroup Joint Stock Company)

• VIC will make a public placement to $425.53 mn corporate bonds to lend to Vinfast. The bonds will have tenor of 24-36 months, expect to be issued during Q3-Q4/2023 or Q1/2024.

KDC (KIDO Group)

• KDC announced having completed the acquisition of 25% stake in Tho Phat JSC. KDC is in its second phase dealing to raise their ownership to 70% OS.
• Ho Chi Minh City-based Tho Phat is a leader in making and supplying dumplings, with more than 4,000 sales points via different distribution channels nationwide. Tho Phat factory in Ho Chi Minh City has a capacity of 10,000 tons of products/year.

BAF (BAF Viet Nam Agriculture Joint Stock Company)

• BAF simultaneously inaugurated two modern green farms applying European technology in Tay Ninh province. With the expansion, the number of operational farms increased to 19, with a total herd size exceeding 230,000 pigs, supplying over 550,000 market pigs annually.
• The number of operational farms is expected to increase to 35-40 nationwide in the near future to expand the total herd size and proactively respond to the anticipated increase in pork prices. (Source: BAF)

PVS (PetroVietnam Technical Services Corporation)

• PTSC South East Asia Pte Ltd (a joint venture in which PVS owns a 51% stake) extended its contract to provide and operate the floating, storage and offloading vessel PTSC Bien Dong 01 (FSO Bien Dong) for Bien Dong Petroleum Operating Company (Bien Dong POC). According to PVS, this contract has a duration of five years (from Jun 2023 to Jun 2028) and a fixed day rate of $41,233. (Source: PVS)

BCM (Investment And Industrial Development Corporation)

•  BoD approved to issue $42.55 mn worth of non-convertible and secured bond in Jun 2023. The proceeds will be used to pay the principal and interest of bond debt.
• Term: maximum 2 years. Coupon rate: fixed 13% for 4 first coupon payments, others: 3.5% + reference rate. (Source: BCM)

PTB (Phu Tai Joint Stock Company)

• PTB registered to buy back 6.5 million treasury shares (9.55% OS) via order matching/put-through method from 13 Jun to 11 Jul 2023 to improve the stock liquidity.
• Price: not above reference price + reference price * 50% band. (Source: PTB)

DIG (Development Investment Construction JSC)

• Mr. Nguyen Hung Cuong (Vice chairman) registered to buy 3 million DIG shares order matching/put-through method from 12 Jun to 11 Jul 2023, increasing his ownership from 9.66% to 10.16% (61,956,984 shares). (Source: HSX).