These were 12-month deposits with an annual interest rate of 10.3 percent and no transfer fees. 

The SHBank Finance Company Limited (SHB Finance) issued the certificates of deposits for its fourth tranche as part of its book-building process. This issuance attracted prestigious institutional investors, including one domestic investment fund and one securities company. 

On April 25, SHB Finance had successfully issued its third tranche certificates of deposit with the same interest rate.

Explaining the factors that make SHB Finance's certificates of deposits attractive to investors, CEO Dinh Quang Huy said that although the company was a new player in the consumer finance market (official launch in August 2018), it has gained the attention of many institutional investors, thanks to its efficient and speedy operating system. 

"We always try to be transparent to investors at all time, not just when we need to raise funds. Therefore, our certificates of deposits are always welcomed by investors, even though timing of tranches are quite close," Dinh said.

SHB Finance serves immediate consumer finance needs
of modest income customers across the country.

With the fourth tranche, SHB Finance has successfully raised VND900 billion ($38.65 million), VND810 billion from certificates of deposit and VND90 billion from deposits. The funds will help SHB Finance serve immediate consumer finance demands of low to medium income customers across the country, contribute to the development of a healthy consumer finance market and eliminate rampant shadow banking activities.

The company announced positive business results in the first four months of 2019, very soon after it commenced operations. SHB Finance ended April 2019 with outstanding loans of VND1.44 trillion ($61.84 million), up 103 percent compared to 2018, fulfilling 39 percent of the plan for 2019. 

Its profit before tax as of April 2019 had reached VND71.6 billion ($3.08 million).

The company has served over 150,000 customers.