An undated photo of investors at Ho Chi Minh City Stock Exchange. Photo: Diep Duc Minh
The State Securities Commission of Vietnam has announced a merger of two local brokerages as part of the government's ongoing efforts to revamp the securities industry.
Ho Chi Minh City-based A Au Securities Company (AAS) was combined with Hai Phong Securities JSC, the market regulator said early this week.
The new company, Hai Phong Securities, will have a charter capital of over VND291.8 billion (US$12.76 million), it said. This is the third merger of the market.
At its peak in 2010, Vietnam's securities industry had 102 companies with total assets of VND107.2 trillion ($4.69 million).
But the market saw a downturn, forcing many businesses to shut down, according to the latest report released by the Hanoi Stock Exchange.
In 2012, the government started restructuring the sector to improve its transparency to attract investors, including rooting out poor performing securities companies.
Official figures showed that 80 securities companies are now operating in Vietnam, with total assets of VND74.7 trillion ($3.26 billion) and a combined equity of VND41.6 trillion ($1.82 billion).