Vietnam Prosperity JSCB, or VPBank, is planning to raise capital through a private placement, Viet Nam News reported Oct. 18.

VPBank has temporarily raised its foreign ownership limit to 22.532% in preparation for the private placement. The bank will then work to raise the ratio to 30% and invite potential foreign investors to pay for a premium for its stakes, VPBank Chairman Ngo Chi Dung said during the bank's annual general meeting of shareholders.

The total shares on offer for both local and foreign investors will be capped at a maximum of 15% of the common stocks, Dung said. The bank will see its capital adequacy ratio increase to 18%. Part of the proceeds from the share sale will also be used for mergers and acquisitions.

The bank has not released further details about the private placement.