BNP Paribas, KB Kookmin in talks for $2 billion Vietnam Techcombank stake, sources say

France’s BNP Paribas and South Korea’s KB Kookmin Bank are in separate talks to acquire at least a 15% stake in Vietnam’s Techcombank as strategic investors, in a deal that could be worth $2 billion, two sources said. 

Why it matters

Techcombank shares rose as much as 7% in afternoon trading after the Reuters report. The latest deal talks come as foreign banks are seeking a bigger foothold in Vietnam by extending hard-currency loans to local lenders squeezed between rising domestic funding costs and government pressure to expand credit.