ANZ is selling its retail banking business in Vietnam to Shinhan Bank Vietnam, part of the Shinhan Financial Group, a South Korean company.
The deal is part of the bank’s strategy to exit retail banking in Asia and concentrate on institutional business.
“The sale of our retail business is in line with our strategy to simplify the bank and improve capital efficiency,” says Farhan Faruqui, ANZ group executive, international.
“It allows us to focus resources on our largest business in Asia — Institutional Banking — where we are a top four corporate bank supporting regional trade and capital flows.”
The agreement with Shinhan Bank Vietnam includes all eight branches in Hanoi and Ho Chi Minh City.
The retail business being sold serves 125,000 customers in Vietnam, and includes $320 million in lending assets and $800 million in deposits.
The Vietnam sale follows an announcement in October last year of the sale to DBS of ANZ’s retail and wealth business in five Asian countries.
Shayne Elliott, who in January last year replaced Mike Smith as CEO of ANZ, a big believer in the growth prospects of Asia, has been clear that he wants a more targeted business in the region.
The ANZ’s institutional banking in Asia has a presence in 15 Asian countries and $43 billion in gross lending assets.