LienVietPostBank
 | |
Native name | Ngân hàng TMCP Bưu điện Liên Việt |
|---|---|
| Private | |
| Industry | Banking and Finance |
| Founded | March 2008 |
| Headquarters | Ho Chi Minh City |
Number of locations | 72 own transaction offices and 1,031 postal transaction offices across 51 cities and provinces (2014) |
Key people |
Mr. Duong Cong Minh as Chairman Mr. Pham Doan Son as CEO |
| Total assets |
2014: VND 100,802 billion (equivalent to USD 4,745 million) |
| Total equity |
2014: VND 7,391 billion (equivalent to USD 348 million) |
Number of employees | 2014: 3,533 |
| Website | http://www.lienvietpostbank.com.vn/ |
Lien Viet Post Joint Stock Commercial Bank or LienVietPostBank, formerly known as LienVietBank, is a private Vietnamese retail bank providing banking products and services through its own transaction offices across 51 cities and provinces and 1,029 postal transaction offices nationwide.[1]
LienVietPostBank is considered to be in the top 10 biggest private banks in terms of assets and equity,[2] in the list of Top 100 Vietnam strong brands 2014 (for 4 years consecutively) and ranked 45th in VNR500 - Top 500 largest private companies in Vietnam in 2014.[3]
In July 2011, Vietnam Post Corporation (VNPost) became the Bank’s biggest shareholder by contributing capital to the Bank equal to the value of the Vietnam Postal Saving Service Company (VPSC) and in cash. This merger was one of the most notable M&A events in Vietnam at that time [4] and was a milestone in the development of the Bank. The Bank then changed its name to Lien Viet Post Joint Stock Commercial Bank and became the first Postal Bank in Vietnam.
Besides, LienVietPostBank and VNPost signed a 50-year-co-operation agreement which allows LienVietPostBank to be an exclusive bank in providing postal saving services and other banking services throughout the network of more than 10,000 post offices of VNPost.[2] This gives LienVietPostBank the opportunity to be present in 63 cities and provinces with 90% coverage at communal level around the country and take advantage of the huge customer base of more than 400,000 individual clients.
The Bank is striving to become a leading retail and universal bank in Vietnam -“A bank for everyone”- by focusing on providing banking products and services for individuals, households and small and medium enterprises (SMEs) especially in the agriculture sector, and expanding its activities to rural and remote areas via the post office network.
Establishment
LienVietPostBankwas established in HauGiang Province on March 28, 2008 with the charter capital of VND 3,300 billion. At that time, LienVietPostBank was one of the top 10 private commercial banks in Vietnam in terms of charter capital. The founder shareholders included Him Lam Corporation, Saigon Trading Group and Southern Airport Service Company.
Highlights
| Mar 2008 | • Received operation license from the SBV (formerly known as Lien Viet Joint-stock Commercial Bank)[5] |
| May 2008 | • Opened the first branch in Hau Giang Province [5] |
| Sep 2009 | • Established LienVietBank’s E-Banking.[5] |
| Oct 2009 | • Increased chartered capital to USD 193 million.[5] |
| Jul 2011 | • Merged with Vietnam Postal Savings Company (VPSC), and changed name to LienVietPostBank. • Became a member of the World Savings & Retail Banking Institute (WSBI).[6] |
| Sep 2011 | • Integrated LienVietPostBank’s ATM system into the biggest ATM network of Vietnam – Smartlink.[4] |
| Jan 2014 | • Ranked 39th in the TOP 500 biggest private enterprises in Vietnam according to VNR500 2013.[4] |
| Jun 2014 | • Launched LienVietPostBank MasterCard International Debit Card.[6] |
| Dec 2014 | • Awarded with “Best CSR Bank in Vietnam 2014” and “Best Savings Bank Vietnam 2014” by Global Banking and Finance Review. • Consists of 91 own transaction points and 1,029 postal transaction offices across 51 cities and provinces in Vietnam.[6] |
| June 2015 | • Received permission from the SBV to move the headquarter to Ho Chi Minh City.[7] |
Main shareholders
1.Him Lam Joint Stock Corporation: 14.98%
2.Vietnam Post Corporation (VNPost): 12.54% [5]
Strategic Partners
1. VietnamPost Corporation
2. Vietnam Bank for Agriculture and Rural Development (Agribank)
3. French La Poste Group
4. World Savings and Retail Banking Institute (WSBI)
5. Oracle Financial Services Software Limited[7]
Other International Partners
1. World Bank and International Finance Corporation (IFC)
2. The Netherlands Development Finance Company (FMO)
3. Asian Development Bank (ADB)
4. Japan International Cooperation Agency (JICA)
5. Wells Fargo
6. JP Morgan Chase
7. Credit Suisse
8. Societe Generale
9. Nomura Holdings
10. The Export – Import Bank of the Republic of China (Eximbank Taiwan)
Network
▪ As of December 31, 2014, LienVietPostBank has totally 1,120 transaction points in 51 out of 63 cities/provinces which includes:
- Bank network: 91 own transaction offices which are consits of: 56 branches, 33 bank transaction offices and 2 savings funds.
- Postal transaction office (PTO) network: 1,029 PTOs.
▪ Network expansion plan:
- In 2015, LienVietPostBank’s own branches will cover all 63 cities/provinces in Vietnam
- By the end of 2018, postal transaction offices will be upgraded to full banking transaction offices and presented in 700 districts of Vietnam
- More than 10,000 post offices can be upgraded to postal transaction offices. In the next 10 years, the Bank’s goal is to expand full banking services to at least 80% of this network throughout Vietnam.
Products and Services
▪ A full range of capital mobilization products
▪ A full range of credit products for different customer segments
▪ A full range of services from International/domestic payment, collection, etc.
▪ Electronic banking and other products: ViViet e-wallet (for unbanked segments), MasterCard Debit card, MasterCard Credit card, Internet banking, Mobile banking, SMS banking, Bankplus…
International Relations
Since its establishment in 2008, the Bank has approached and built relationships with the following international organizations and foreign financial institutions:
• French La Poste Group: In October 2013, LienVietPostBank, VNPost and La Poste Group signed one-year Technical consultancy and technology transfer Agreement, which aims to define the best coordination governance between LienVietPostBank and VNPost, design retail postal banking range and build the postal banking transaction office model for the nationwide roll-out plan.
• IFC – International Finance Corporation: In May 2011, LienVietPostBank’s initial trade line through IFC’s Global Trade Finance Program (GTFP) reached USD 5 million. In January 2012, the trade line is increased to USD 20 million to help SMEs sustain import and export activities.
• World Bank: In May 2012, the Bank participated in the third Rural Finance Program III sponsored by the International Development Association, a member of World Bank, to support end-borrowers including individuals, households and SMEs in rural areas.
• WSBI – World Saving and Retail Banks Institute: In July 2011, LienVietPostBank officially became a member of WSBI, a global voice of the world’s retail and saving banks. LienVietPostBank has chances to exchange information and enhance partnership through in-depth discussions and experiences sharing with many foreign financial institutions all over the world.
• JICA – Japan International Cooperation Agency: In September 2011, LienVietPostBank participated in the third stage of SMEs’ financing project of JICA.
• Wells Fargo and JP Morgan Chase signed cooperation agreement with LienVietPostBank to explore the international payment services and FX trading.
• Good relationship with Credit Suisse, Societe Generale, Nomura in global capital markets.
• The Eximbank Taiwan (The Export – Import Bank of the Republic of China) is one of the important partners of LienVietPostBank and plays a vital role in assisting the Bank to enhance trade finance for SMEs when importing goods from Taiwan.
Key financial ratios
| Unit: USD thousand | 2010[5] | 2011[5] | 2012[5] | 2013[5] | 2014[5] |
|---|---|---|---|---|---|
| Total Assets | 1,847,915 | 2,695,042 | 3,188,611 | 3,783,715 | 4,744,505 |
| Shareholders’ Equity | 216,810 | 316,593 | 354,859 | 345,659 | 347,882 |
| Net Profit After Tax | 36,056 | 46,908 | 41,672 | 26,906 | 21,947 |
| Return on average assets (ROAA) (%) | 2.61% | 2.14% | 1.42% | 0.78% | 0.53% |
| Return on average equity (ROAE) (%) | 17.22% | 18.26% | 12.42% | 7.72% | 6.36% |
| Non-performing loans (NPL) (%) | 0.42% | 2.14% | 2.71% | 2.48% | 1.1% |
| Dividend payout ratio (%/year) | 15.00% | 15.00% | 10.00% | 8.00% | 6.00% |
Business Strategies
| Mission | • To offer customers and society a wide range of products and services with excellent quality • To create maximum benefits for the Bank and the Society |
| Vision | • To become a leading retail bank in Vietnam – A Bank for Everyone |
| Business Strategies | • To be a retail and universal bank targeting the mass market |
| Core values | • Discipline, Creativity and Humanity[5] |
Corporate Social Responsibility
From 2008 to 2014, LienVietPostBank and its founders actively contributed over VND 800 billion, equivalent to over USD 38 million, to the community and society through social activities. Some notable programs are:
• Study and Talent Encouragement Funds: Pham Van Tra Fund (BacNinh), Dat To Fund (PhuTho), Luong The Vinh Fund (Nam Dinh), Nguyen KhacNghien Fund (PhuTho), Nguyen Dan Que Fund (ThanhHoa), Dinh Bo Linh Fund (NinhBinh) and Chu Van An Fund (Ha Noi). The total sponsorship amounted to over VND 20 billion.
• “Going home” program: Kicked off in 2008, the program coordinated with “Vietnamese heart” fund of the Vietnam Television (VTV) to become the program “1000 billion Going home” with a view to supporting and funding for the poor, poor households and difficult regions in 63 provinces through the country. Up to 2013, the total funding value for social activities in “Going home” program after 5 years reached over 700 billion VND. Thousands of individuals, households and many difficult regions have been supported.
• Fund for the poor: LienVietPostBankhas funded over VND 40 billion for the poor in Hau Giang, Can Tho, QuangNgai and Ben Tre.
• LienVietPostBank and Him Lam Corporation established Xin Man Development Company to solely dedicate to project in helping Xin Man district, Ha Giang province (one of the poorest districts in Northern Vietnam): Until 2013, LienVietPostBank has funded nearly VND 100 billion for many projects related to public transportation infrastructure, healthcare and education; support the people in the district to earn their living and strengthen trade exchange for Xin Man district.
Since 2010, the Bank has implemented the ”Tam Nong” program which helps reduce lending rates for individuals and enterprises operating in agriculture and rural areas.
Besides, the Bank has committed itself to international standards and norms in corporate social responsibility as those set by Global Compact Network Vietnam (GCNV) and International Finance Corporation (IFC).
See also
VN Post http://www.vnpost.vn/
Him Lam Joint Stock Company http://www.himlam.com/EN/Himlam.html
References
- ↑ LienVietPostBank - Company Profile and Recent Significant Developments of June 30th 2013 http://www.lienvietpostbank.com.vn/sites/default/files/file_download/Profile_LienVietPostBank_2013.pdf
- 1 2 Top 500 largest private companies in Vietnam in 2014 http://www.vnr500.com.vn/vn/?page_id=13444
- ↑ http://english.thesaigontimes.vn/Home/business/financial-markets/31563/La-Poste-Group-strikes-deal-to-assist-LienVietPostBank.html.
- 1 2 3 Vietnam Deals Review 2011 - Stoxplus http://www.stoxplus.com/download.asp?id=2780
- 1 2 3 4 5 6 7 8 9 10 11 Annual Reports http://www.lienvietpostbank.com.vn/en/about/technology/content/annual%20report
- 1 2 3 http://www.globalbankingandfinance.com/lienvietpostbank-overcoming-the-challenges-of-an-economic-crisis/
- 1 2 http://www.lienvietpostbank.com.vn/en/about/introduction/content/about-us-111111
External links
Official Website:
• English:
• Vietnamese: