Vemanti Group, Inc. (“Vemanti” “Vemanti Group” or the “Company”) (OTCQB: VMNT) today announced that it has signed a non-binding Letter of Intent (the “LOI”) with Vietnam Public Joint-stock Commercial Bank (“PVcomBank”) to become one of the first Small-to-Medium Enterprise (SME) neobanking solutions in Vietnam. This signals a strategic move into the digital banking space for the Company, who will also look to continue its financial service expansion into additional countries in SE Asia in the near future.
The LOI is a major step forward on an integrated bilateral formal partnership for Vemanti Group and PVcomBank, which announced their first Memorandum of Understanding (MOU) to create joint financial projects in Q3 2021. PVcomBank is a fully licensed and regulated bank in Vietnam with comprehensive core banking products and services. Recently, the company has worked to advance its digital banking segment, offering new, easier to use banking features to its large customer base.
Pursuant to the terms of the LOI, it is the intention of the parties to sign a definitive agreement within 90 days of signing of the LOI and by March 31, 2022. Vemanti will utilize PVcomBank’s industry-leading banking expertise to provide SMEs in Vietnam with an innovative digital-only financial solution via PVcomBank’s existing core banking system. The Vemanti-branded digital bank platform will allow customers to be seamlessly onboarded online, eliminating the need to visit a physical branch, while giving them access to tailored banking services and financial products embedded to their business operations.
Neobanks, also known as digital or challenger banks, are a growing sector in the fintech space, representing a large portion of the investor funding over the last 24 months. According to a recent report from Grandview Research, the neobanking industry is expected to reach USD 722.60 billion by 2028. It is anticipated to register a CAGR of 47.7% from 2021 to 2028. The market growth is credited to better usability, lower interest rates than traditional predecessors, and superior technology. Both Vemanti and PVcomBank look forward to contributing to the global movement of digital transformation in banking.
“We’re excited to partner with the Vemanti Group as we look toward the future of banking and work to promote the development of innovative products and services,” stated Ha Viet Nguyen, Deputy CEO from PVcomBank. “By integrating our industry-leading technology with other forward-thinking organizations like Vemanti Group, we can improve financial accessibility and access with fewer roadblocks to entry than traditional banking providers.”
PVcomBank has a network of 109 transaction offices in major provinces in Vietnam, and provides a wide range of products and services, fully meet the demands of personal and corporate customers. The company is focused on bringing the best financial services and products while continually increasing value for their shareholders. In 2021, PVcomBank was ranked “The Best Digital Bank in Vietnam” and also one of the “Top 100 Strongest Brands in Vietnam”.
“The partnership with PVcomBank allows Vemanti Group to make major inroads into digital banking, providing underserved SMEs with more streamlined and efficient products compared to the traditional banking structure,” said Tan Tran, CEO of Vemanti Group. “We’re looking forward to collaborating with PVcomBank and working together to advance the future of banking in Vietnam and Southeast Asia.”