South Korea’s NH Investment & Securities Co. acquired the full stake in its Vietnamese joint venture to make it a wholly-owned entity, a move expected to help accelerate its foray into the rapidly growing Southeast Asian market.
The investment bank said on Friday it bought for an undisclosed amount the remaining stake of NH Vietnam Securities (NHVS), a joint venture formed with a Vietnamese brokerage, to make it a wholly-owned subsidiary. NHVS provides a full range of banking services for Vietnamese customers, from retail and corporate banking to investment banking and asset management.
In 2009, NH Investment & Securities ventured into the Vietnamese market by acquiring a 49 percent stake in Vietnam’s CBV Securities. After years of operating in partnership, it said it has been preparing for a full takeover in the past year given Vietnam’s rapid economic growth and eased regulations that now allow 100% foreign ownership in firms.
“For overseas operations, growing with the local market is more important than short-term profits,” said Kim Won-gyu, chief executive of NH Investment & Securities.
The company said as part of plans to boost fintech investment in Vietnam, it will meet with the Korean embassy in Vietnam, the Financial Supervisory Service in Hanoi, and the State Securities Commission of Vietnam as well as work in partnership with the Vietnamese government.
By Yoon Jin-ho and Kim Hyo-jin
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