LPS Securities Issues VND 600B Private Bond at 10.5% Coupon

Overview

LPS Securities (HOSE: LPS), formerly LPBank Securities, has issued a private bond tranche worth VND 600 billion (code LPSL12601) on 27 August 2026. The bonds carry a one-year tenor and a fixed annual coupon of 10.5%. This issuance is part of a larger VND 1,000 billion private placement program approved by the board of directors.

Key Facts

• Issued 6,000 bonds with a face value of VND 100 million each, raising VND 600 billion.
• Bond code: LPSL12601; issuance date: 27/8/2026; maturity date: 27/8/2027.
• Fixed coupon rate of 10.5% per annum for the entire tenor.
• The bonds are non-convertible, without warrants, unsecured, and constitute direct repayment obligations of the issuer.
• The issuance follows board resolution No. 102/2026/NQ-HĐQT dated 26/8/2026, approving a total program of VND 1,000 billion.
• LPS changed its name from LPBank Securities to LPS Securities on 27/8/2026, after listing on HoSE on 18/8/2026.
• H1 2026 revenue reached VND 2,717 billion (up ~5x YoY); pre-tax profit was VND 718 billion (up 2.3x YoY), achieving 42% of the full-year target of VND 1,700 billion.

What Happened

LPS Securities reported the results of its private bond offering to the Hanoi Stock Exchange (HNX). The company issued 6,000 bonds under code LPSL12601 on 27 August 2026, each with a face value of VND 100 million, raising a total of VND 600 billion. The bonds have a one-year tenor and a fixed coupon of 10.5% per annum, with the issuer retaining the right to repurchase early by agreement with bondholders.

The issuance was approved under board resolution No. 102/2026/NQ-HĐQT dated 26 August 2026, which authorised a total private placement of up to VND 1,000 billion in non-convertible, unsecured bonds. The board delegated authority to the chairman and/or CEO to determine the timing, volume, interest rate, and other terms.

This bond sale coincides with the company’s rebranding from LPBank Securities to LPS Securities, effective 27 August 2026, following regulatory approval and its recent listing on HoSE on 18 August 2026. The company had completed an IPO of 141.86 million shares to 1,005 domestic investors on 16 June 2026.

Market Context

LPS shares closed at VND 23,750 on 4 September 2026, shortly after the bond issuance. The company, now trading on HOSE, has shown rapid growth: H1 2026 revenue surged nearly five-fold year-on-year to VND 2,717 billion, while pre-tax profit more than doubled to VND 718 billion. Total assets reached VND 38,088 billion as of 30 June 2026, up 27% from the start of the year, driven largely by a 52% increase in FVTPL financial assets to over VND 17,260 billion. The securities sector in Vietnam has been buoyant, with rising retail participation and margin lending, supporting brokerage and proprietary trading revenues.

Strategic Significance

The bond issuance provides LPS with additional short-term funding to support its expanding balance sheet, particularly its margin lending book (VND 13,738 billion, up 30% in H1) and proprietary trading positions. The 10.5% coupon reflects the current interest rate environment for unsecured corporate debt from securities companies. For long-term investors, this move signals management’s confidence in deploying capital at returns above the cost of funding, but also highlights the company’s reliance on wholesale funding to finance growth. The rebranding and HoSE listing aim to enhance visibility and credibility, potentially broadening access to institutional capital.

What to Watch

• Q3 2026 earnings report: whether revenue and profit growth momentum continues, and if the company meets its full-year pre-tax profit target of VND 1,700 billion.
• Further tranches under the VND 1,000 billion bond program: any additional issuances and their terms.
• Changes in margin lending outstanding and asset quality, particularly non-performing loans.
• Regulatory updates or capital market conditions affecting the cost of funding for securities companies.
• Any early redemption of the LPSL12601 bonds, which could indicate balance sheet management actions.