Shinhan Financial Group is expanding its business in Vietnam through a partnership with Vingroup, the country's largest private-sector company.
Shinhan Financial said on the 20th that its executives met with Vingroup management at Shinhan Vietnam's headquarters in Ho Chi Minh City on the 17th to discuss ways to broaden their cooperation. Vingroup is Vietnam's largest company by market capitalization, with real estate and electric vehicles among its main businesses.
The two companies plan to widen their partnership beyond auto financing, where they have already built a track record. Through Shinhan Securities Vietnam, they will look for opportunities in capital markets, including equity and bond fundraising. Shinhan Bank Vietnam and Shinhan Vietnam Finance agreed to scale up their financing cooperation in line with rising demand for electric vehicles made by VinFast, Vingroup's EV manufacturing affiliate.
Shinhan Securities Vietnam is serving as sole arranger for Vingroup's first Arirang bond, a won-denominated note targeted for issuance in the fourth quarter of this year, and is lining up investment demand from domestic institutional investors. "Vietnam is one of Shinhan Financial's key global business bases," Chairman Jin Ok-dong said. "We will identify new business opportunities with Vingroup."
