Financial institutions AEON Financial Service and SeABank reach an agreement to settle disputes regarding the PTF issue.
In a significant move, AEON Financial Service Co., Ltd (AFS) has successfully acquired the entire stake in Postal Finance Co., Ltd (PTF) from SeABank for around $180 million. This transaction, approved by the State Bank of Vietnam (SBV), marks a strategic step in AEON Group's business operations in Vietnam.
The acquisition is part of SeABank's roadmap to strengthen its financial capacity. AFS, on the other hand, has reaffirmed its intention to manage and develop PTF sustainably in the long term. AFS and SeABank have also agreed to support PTF's business growth and debt resolution.
In October 2023, AFS and SeABank entered into a share transfer agreement, initiating the process of AFS acquiring all shares in PTF. However, during the post-merger integration process, AFS identified potential discrepancies in loan-loss provisions at PTF.
Since June 2023, AFS has been engaging in comprehensive discussions with SeABank to resolve the matter constructively and cooperatively. Through these discussions, AFS has confirmed that SeABank neither participated in nor had knowledge of the loan-loss provision discrepancies at PTF. Consequently, the collaborative resolution has not led to any reconsideration of the transaction regarding AEON Financial Service Co., Ltd's acquisition of PTF.
In a positive turn of events, AFS has decided to withdraw its preliminary notice related to the reconsideration of the transaction. This decision signifies a resolution of the dispute and a commitment by both parties to move forward together.
Moreover, AFS and SeABank have signed a cooperative agreement to develop retail products and services for their customers in Vietnam. This partnership is expected to enhance the financial services available to consumers in the country.
The completed buyout of PTF by AEON Financial Service Co., Ltd has not affected the broader financial needs and service opportunities generated by AEON Group's ongoing business operations. AFS has reaffirmed its intention to manage and develop PTF sustainably in the long term, ensuring continued growth and stability for the company.
AEON Financial Service Co., Ltd and SeABank have also agreed to jointly foster PTF's business growth. This collaboration is expected to drive PTF towards greater success and contribute to the overall growth of the Vietnamese economy.
The completed acquisition by AEON Financial Service Co., Ltd (AFS) of Postal Finance Co., Ltd (PTF) serves as a step to expand AFS's business ventures in finance. AFS and SeABank, the former's acquisition partner, are working together to foster PTF's growth, emphasizing their shared commitment in the business sector.
