Saigon - Hanoi Commercial Joint Stock Bank: Update following ratings confirmation

Saigon - Hanoi Commercial Joint Stock Bank: Update following upgrade to B1, outlook change to positive - Credit Opinion – 2022/05/19 – US$ 250.00 – ...Saigon - Hanoi Commercial Joint Stock Bank's (SHB) B1 long-term deposit and issuer ratings reflect improvements in SHB's asset quality after it wrote off its Vietnam Asset Management Company (VAMC) bonds in 2021, higher capital and improving profitability because of lower credit costs. We expect SHB's asset quality to remain stable over the next 12-18 months, particularly as economic activities rebound in Vietnam, which will support borrowers' debt repayment capacity. SHB's funding and liquidity are moderate. The positive outlook on the ratings reflects our expectation of further improvement in SHB's credit profile, driven by improvements in capital as it seeks to raise new capital from existing shareholders and through stake sale to foreign strategic investors. SHB's B1 deposit and issuer ratings are one notch higher than its b2 Baseline Credit Assessment (BCA) because of our expectation of moderate level of support from Government of Vietnam (Ba3 positive)....

Moody's upgrades Saigon-Hanoi Joint Stock Bank's ratings; changes outlook to positive - Rating Action – 2022/04/29 – US$ 180.00 – ...MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS, AND PUBLICATIONS ARE NOT INTENDED FOR USE BY RETAIL INVESTORS AND IT WOULD BE RECKLESS AND INAPPROPRIATE FOR RETAIL INVESTORS TO USE MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS OR PUBLICATIONS WHEN MAKING AN INVESTMENT DECISION. IF IN DOUBT YOU SHOULD CONTACT YOUR FINANCIAL OR OTHER PROFESSIONAL ADVISER. ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISE REPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED, DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANS WHATSOEVER, BY ANY PERSON WITHOUT MOODY'S PRIOR WRITTEN CONSENT. MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS AND PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT...

Saigon - Hanoi Commercial Joint Stock Bank: Update following H1 2021 results - Credit Opinion – 2021/10/05 – US$ 250.00 – ...Saigon - Hanoi Commercial Joint Stock Bank's (SHB) B2 long-term deposit and issuer ratings reflect the bank's b3 Baseline Credit Assessment (BCA) and a one-notch uplift based on our assessment of a moderate probability of support from the Government of Vietnam (Ba3 positive) in times of need. Our assessment of a moderate probability of government support takes into consideration the bank's modest share of 3% each in system assets and system deposits as of the end of March 2021. SHB's b3 BCA takes into consideration its thin loss-absorbing buffers against rising asset risks because of the coronavirus pandemic. The bank has been making steady progress in resolving its legacy problem assets, but we expect credit costs to continue weighing on its profitability until its problem assets are fully resolved. SHB's funding and liquidity are moderate. In August 2021, SHB announced an agreement with Bank of Ayudhya (BAY, Baa1 stable, baa3) to sell a 100% equity stake in SHBANK Finance Company Limited...

Moody's assigns B2 rating to Saigon - Hanoi Commercial Joint Stock Bank's MTN drawdown - Rating Action – 2021/09/28 – US$ 180.00 – ...MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS, AND PUBLICATIONS ARE NOT INTENDED FOR USE BY RETAIL INVESTORS AND IT WOULD BE RECKLESS AND INAPPROPRIATE FOR RETAIL INVESTORS TO USE MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS OR PUBLICATIONS WHEN MAKING AN INVESTMENT DECISION. IF IN DOUBT YOU SHOULD CONTACT YOUR FINANCIAL OR OTHER PROFESSIONAL ADVISER. ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISE REPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED, DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANS WHATSOEVER, BY ANY PERSON WITHOUT MOODY'S PRIOR WRITTEN CONSENT. MOODY'S CREDIT RATINGS, ASSESSMENTS, OTHER OPINIONS AND PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT...

Saigon - Hanoi Commercial Joint Stock Bank: Update following 9M 2020 results - Credit Opinion – 2020/12/18 – US$ 250.00 – ...Saigon - Hanoi Commercial Joint Stock Bank's (SHB) B2 long-term deposit and issuer ratings reflect the bank's b3 Baseline Credit Assessment (BCA) and a one-notch uplift based on our assessment of a moderate probability of support from the Government of Vietnam (Ba3 negative) in times of need. Our assessment of a moderate probability of government support takes into consideration the bank's modest share of 3% each in system assets and system deposits as of the end of June 2020, as well as the history of regulatory forbearance in Vietnam. SHB's b3 BCA takes into consideration the steady improvements made by the bank in resolving its legacy problem assets, offset by rising asset risks as a result of the ongoing coronavirus pandemic and the bank's thin loss-absorbing buffers. SHB's profitability is weak because high credit costs continue to weigh on its top-line revenue. The bank's funding and liquidity are moderate....

Saigon - Hanoi Commercial Joint Stock Bank: Update following rating review - Credit Opinion – 2020/04/16 – US$ 250.00 – ...On 7 April 2020, we placed on review for downgrade all ratings and assessments of Saigon - Hanoi Commercial Joint Stock Bank (SHB) to reflect our expectations that the bank's loans to the small and medium enterprises (SMEs) in Vietnam (around 31% of gross loans as of year- end 2019) will pose renewed asset risk for the bank as SMEs generally have limited financial buffers to withstand revenue shocks caused by the coronavirus outbreak. Compared with other Vietnamese banks we rate, SHB's loan-loss reserves and capitalization are weak and will provide little buffers against rising risks. The review for downgrade will focus on the quality of the bank's loans to borrowers operating in industries directly affected by the coronavirus outbreak, as well as its consumer finance loans that are currently extended through its subsidiary, SHBANK Finance Company Limited (SHB Finance, B3 review for downgrade). The review will also focus on the effectiveness of domestic and global policy responses in supporting...

Moody's assigns (P)B2 to Saigon - Hanoi Commercial Joint Stock Bank's MTN program - Rating Action – 2020/01/10 – US$ 180.00 – ...ASSESSMENTS, OTHER OPINIONS AND PUBLICATIONS ARE NOT INTENDED FOR USE BY ANY PERSON AS A BENCHMARK AS THAT TERM IS DEFINED FOR REGULATORY PURPOSES AND MUST NOT BE USED IN ANY WAY THAT COULD RESULT IN THEM BEING CONSIDERED A BENCHMARK. All information contained herein is obtained by MOODY'S from sources believed by it to be accurate and reliable. Because of the possibility of human or mechanical error as well as other factors, however, all information contained herein is provided "AS IS" without warranty of any kind. MOODY'S adopts all necessary measures so that the information it uses in assigning a credit rating is of sufficient quality and from sources MOODY'S considers to be reliable including, when appropriate, independent third-party sources. However, MOODY'S is not an auditor and cannot in every instance independently verify or validate information received in the rating process or in preparing its Publications. To the extent permitted by law, MOODY'S and its directors, officers,...

Saigon - Hanoi Commercial Joint Stock Bank: Update following rating action - Credit Opinion – 2019/12/24 – US$ 250.00 – ...Saigon - Hanoi Commercial Joint Stock Bank's (SHB) B2 deposit and issuer ratings reflect the bank's b3 BCA and a one-notch uplift based on our assessment of a moderate probability of support from the Government of Vietnam (Ba3 negative) in times of need. Our assessment of a moderate probability of government support takes into consideration the bank's modest 3% share of system assets and system deposits as of year-end 2018, as well as the history of regulatory forbearance in Vietnam. SHB's b3 BCA takes into consideration the bank's weak asset quality, which is strained by a large stock of legacy problem assets, modest profitability, as well as weak capitalization. The bank's higher-than-system-average loan growth in 2014-17 and its large exposure to cyclical sectors, such as agriculture, construction and real estate, will also pose downside risks to asset quality. Finally, the BCA also reflects SHB's average funding and liquidity. On 19 December 2019, we confirmed SHB's long-term Counterparty...

Saigon - Hanoi Commercial Joint Stock Bank: Update following rating action - Credit Opinion – 2019/11/01 – US$ 250.00 – ...Saigon - Hanoi Commercial Joint Stock Bank's (SHB) B2 deposit and issuer ratings reflect the bank's b3 BCA and a one-notch uplift based on our assessment of a moderate probability of support from the Government of Vietnam (Ba3 rating under review) in times of need. Our assessment of a moderate probability of government support takes into consideration the bank's modest 3% share of system assets and system deposits as of year-end 2018, as well as the history of regulatory forbearance in Vietnam. SHB's b3 BCA takes into consideration the bank's weak asset quality, which is strained by a large stock of legacy problem assets, modest profitability, as well as weak capitalization. The bank's higher-than-system-average loan growth in 2014-17 and its large exposure to cyclical sectors, such as agriculture, construction and real estate, will also pose downside risks to asset quality. Finally, the BCA also reflects SHB's average funding and liquidity. On 10 October 2019, we placed SHB's long-term...

Saigon - Hanoi Commercial Joint Stock Bank: Key facts and statistics - FYE December 2018 - Issuer Profile – 2019/09/19 – US$ 200.00 – ... statements Dec 2018, annual report Dec 2009, corporate governance report Dec 2018), company data, Moody's Investors Service research, Hanoi Stock Exchange...