VietinBank to Sell Stalled Hanoi Tower, Potential VND 5,000B Profit
This Aveluro analysis covers CTG (VietinBank) on HOSE in the Banks sector. The classified event type is m a announcement, with positive sentiment and a deterministic market-impact score of 8.4/10. Aveluro classifies this story as a positive catalyst in the stock's news coverage. Source coverage came from Tuổi Trẻ - Kinh doanh, classified as a primary/top-tier source.
Key Facts
Caveat: Not investment advice. · How Aveluro computed this: Aveluro combines extracted event facts, source credibility, ticker context, and market data. Scores are deterministic research signals, not recommendations.
Overview
VietinBank (CTG) announced plans to sell the VietinBank Tower project in Hanoi’s Ciputra urban area to a leading domestic real estate company, with the transfer contract expected to be signed in August 2026. The project, stalled for 16 years, could generate a profit of approximately VND 5,000 billion for the bank, according to analyst estimates. This divestment is part of VietinBank’s strategy to offload non-core assets and improve capital efficiency.
Key Facts
- VietinBank will sell VietinBank Tower to a leading domestic real estate company; contract signing expected in August 2026.
- The project’s initial investment cost was approximately VND 10,267 billion (about USD 410.68 million).
- Analysts at Rồng Việt Securities estimate potential profit of up to VND 5,000 billion if sold at initial investment cost.
- VietinBank’s financial statements show construction-in-progress costs of about VND 5,500 billion for northern region projects, largely unchanged for years.
- The project was originally a joint venture with Singapore’s Premium Asset Pte (72% stake) and VietinBank (28%), but the partner withdrew during the global financial crisis.
- Construction began in 2010 on a nearly 30,000 m² site leased for 38 years at a total land lease cost of about VND 849 billion.
- The design includes a 7-story podium connecting two towers: a 68-story, 363m tower planned as VietinBank’s headquarters, and a 48-story, 250m tower for a 5-star hotel, healthcare, and luxury apartments.
What Happened
At an investor meeting following its Q2 earnings release, VietinBank announced that it will sell the VietinBank Tower project in Hanoi’s Ciputra urban area to a leading domestic real estate company. The bank stated that all legal procedures for the transfer have been completed, and the transfer contract will be signed in August 2026. Management did not disclose the expected profit from the transaction.
In a 2025 analysis report, Rồng Việt Securities estimated that if VietinBank transfers the project at a price equivalent to the initial total investment of about VND 10,267 billion, the bank could record a profit of up to VND 5,000 billion. The project has been stalled since 2010, with construction-in-progress costs of about VND 5,500 billion recorded on the balance sheet.
The project’s history includes a failed joint venture with Singapore’s Premium Asset Pte, which withdrew during the global financial crisis, leaving VietinBank to fund the project entirely. After years of delays and failed attempts to find investors, VietinBank decided to restructure the project by selling it to an external partner and leasing back part of the 68-story tower for its headquarters.
Market Context
CTG shares closed at VND 31,500 on August 17, 2026, on the HOSE. The bank’s stock has been supported by strong earnings and expectations of asset quality improvement. The sale of VietinBank Tower, a long-standing non-performing asset, could provide a one-time boost to profits and free up capital for core banking operations. The Vietnamese banking sector has seen increased M&A activity as banks divest non-core assets to meet capital adequacy requirements and focus on digital transformation.
Strategic Significance
For long-term investors, the divestment of VietinBank Tower represents a strategic shift toward operational efficiency and capital optimization. The potential profit of VND 5,000 billion, if realized, would strengthen VietinBank’s capital base and support lending growth. The sale also removes a long-standing overhang that has weighed on the bank’s return on assets. By partnering with a leading domestic real estate firm, VietinBank can unlock value from a project that has been dormant for over a decade, while retaining use of part of the tower for its headquarters.
What to Watch
- Final sale price and any adjustments from the initial investment cost.
- Timeline for contract signing and completion of the transfer in August 2026.
- Impact on VietinBank’s Q3 or Q4 2026 earnings, including any one-time gains.
- Regulatory approvals and any conditions attached to the transaction.
- Updates on the buyer’s identity and their plans for the project’s completion.