Techcombank unit eyes 10.8 trillion dong IPO, poised for highest valuation among Vietnam’s brokerages

[HO CHI MINH CITY] Techcom Securities (TCBS), the brokerage arm of Vietnam’s private lender Techcombank, plans to raise more than 10.8 trillion dong (S$530.8 million) through an initial public offering (IPO) scheduled from the third quarter of 2025 till the first quarter of 2026.

The company announced on Tuesday (Aug 5) that it plans to offer more than 231 million shares – 11.1 per cent of its current outstanding shares – at a price of 46,800 dong a unit, valuing it at more than 108.2 trillion dong (S$5.3 billion) after the IPO.

Such valuation surpasses that of SSI Securities (SSI), the largest listed brokerage on the local bourse, which had a market capitalisation of 68.3 trillion dong at the close of the trading session on Aug 5.

The above-mentioned TCBS share price is approximately 3.3 times higher than its book value per share at the end of Q2 this year.

Once the IPO receives regulatory approval, newly issued shares will be distributed via TCBS itself, and two authorised distributors – SSI and Ho Chi Minh City Securities (HSC).

Of the total proceeds raised from the IPO, 70 per cent – equivalent to 7.6 trillion dong – will be invested in proprietary trading activities, including investments in equities and bonds. The remaining 30 per cent will be allocated to brokerage operations, margin lending and advance payments for securities sales.

It is not yet clear when TCBS will list its shares on the local bourse.

TCBS posted a record profit before tax of more than 1.73 trillion dong for the second quarter of this year, up 7.6 per cent rise from the year before, and the highest among local peer firms.

By the end of Q2 2025, the broker achieved about 53 per cent of its annual pre-tax profit goal, which was set in April at 5.8 trillion dong – an increase of 20 per cent year on year.

SEE ALSO

Vietnam stocks slide after record high as short-term risks emerge

Vietnam’s VN-Index smashes record as stock market turns 25

Vietnam stocks pop as foreign investors return on sweetened US trade terms: analysts

Analysts at VNDirect Securities noted earlier this year that TCBS’ IPO is expected to add upside to the valuation of its parent bank, which had an 88.7 per cent ownership in the brokerage arm as at the end of June 2025.

The stock issuance of TCBS could also enable Techcombank to record a one-off financial gain or to revalue the subsidiary, thereby boosting the lender’s book value in 2025. “In the longer term, the IPO would help TCBS strengthen its capital base, support independent growth,” the brokerage said.

Tyler Nguyen, chief market strategist at HSC, noted in July that the anticipated upgrade of Vietnam’s stock market to emerging-market status this September by index provider FTSE is likely to sustain strong trading activity and further support the growth of the brokerage sector.

“The upcoming TCBS IPO is expected to catalyse a broad re-rating of the brokerage sector, with positive spillover effects anticipated for peer securities firms,” he added.

The benchmark VN-Index has outperformed regional peers, gaining 22.1 per cent year to date, driven by favourable local economic outlook fuelled by pro-growth reforms, better clarity surrounding the trade deal with the US, and rising optimism over a potential market upgrade later this year.