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Vietnam Newsletter - September 2023




Market Summary


  • The Vietnam investment market witnesses several large deal closings and announcements in September, despite expectation for a quiet H2-2023.

  • The consumer & retail sector had the highest transaction amount among all sectors with a total raise of USD200m from Bain Capital to Masan Group and an ongoing discussion of USD1.5bn to purchase Bach Hoa Xanh from Singapore GIC.

  • Manufacturing followed with a closed deal of USD150m from Chinese battery manufacturer Gotion Inc. to VinFast and an announced investment of USD1bn from Hana Micron in chip production in Vietnam.

  • Besides these notable deal closings in consumer and manufacturing, real estate, healthcare and technology are other sectors that welcome investments, deal announcements as well as some positive movements in the market.



Aggregate Deals Value = USD2,940.5m

 

This month's top deals


Consumer & retail

Bain Capital scores first deal in Vietnam, to invest at least USD200 million in Masan Group

On October 2, Masan Group Joint Stock Company (Masan) said that Bain Capital - the world's leading private investment fund with total assets under management of approximately USD180 billion, has agreed to invest at least USD200 million. USD equal to equity capital into Masan Group with a value of VND85,000 per share. This transaction marks Bain Capital's first investment project in Vietnam.


Article link:

Bain Capital scores first deal in Vietnam, to invest at least USD200 million in Masan Group

GIC eyes potential M&A deal in Vietnam's retail sector


Manufacturing

Chinese battery firm Gotion invests USD150 million in VinFast

Chinese battery manufacturer Gotion Inc. has agreed to acquire 15 million ordinary shares of VinFast through a private issuance valuing the shares at USD10 apiece, with an investment totalling USD150 million, representing 0.7 per cent of VinFast's total equity.


Article link: Chinese battery firm Gotion invests USD150 million in VinFast

South Korea's Hana Micron to invest USD1 billion in Vietnam chip production

Hana Micron plans to pour USD1 billion into chip production in Vietnam by 2025, the latest in a wave of semiconductor investments flooding into the communist country.


The South Korean manufacturer of chip packaging and memory products told Nikkei Asia it is moving equipment to its new, second factory in Bac Giang province to "prepare for production and we have a busy schedule with customer audits, etc." The province hosts three Apple suppliers and, with neighboring Bac Ninh, is known for making the bulk of Samsung phones globally.


Article link:

South Korea's Hana Micron to invest USD1 billion in Vietnam chip production


Healthcare

Gene Solutions raises USD21 million series B, targeting regional expansion

Gene Solutions, which bills itself as Vietnam’s largest genetic testing company, has raised USD21 million in a series B round from Mekong Capital. This follows a USD15 million investment that the private equity investor made in the company in 2021.

Gene Solutions is one of Mekong Capital’s recent bets in biotech, a sector that has been arguably underserved by venture capital firms in Vietnam.


Article link:

Gene Solutions raises USD21 million series B, targeting regional expansion


Parkway dental clinic chain secures USD5 million investment

KKR in talks to purchase Saigon Medical Group

Real estate

Malaysian developer SkyWorld makes first land acquisition in Vietnam

In a Thursday announcement, SkyWorld said its wholly-owned subsidiary SkyWorld Vietnam has entered into a conditional shares sales and purchase agreement with Thuan Thanh Trading Production and Real Estate Training JSC and three individuals.


SkyWorld will spend VND350 billion (USD14.5 million) on acquiring 100% of the Vietnamese firm’s shares.


Upon completion of the deal, SkyWorld will own several land lots, including a 2,060-square-meter plot and five parcels of between 64 and 1,026 square meters each, all in District 8, HCMC.


Article link:

Malaysian developer SkyWorld makes first land acquisition in Vietnam

Knots untangling for top projects in Vietnam’s key cities

Others

TopCV Vietnam secures strategic investment from Japan's Mynavi Corporation

TopCV Vietnam, a rising start-up within the human resources (HR) sector, in late August confirmed its continued receipt of strategic investment worth several tens of millions of dollars from Japan's HR conglomerate, Mynavi Corporation. Mynavi's initial equity contribution to TopCV's venture was made in 2021. Prior to the Japanese conglomerate's involvement, TopCV had garnered investments from various domestic and international funds, including South Korea's Nextrans, Next100, and VIC Partners, among others.


Article link:

TopCV Vietnam secures strategic investment from Japan's Mynavi Corporation


F88 successfully raised USD50 million from foreign funds



Note: Deal values include disclosed announced & closed deals with amounts restricted to the local scene i.e., amounts related to the Vietnam entity and/or business. Rumored deals are not included. Cross-posted deals are also adjusted to avoid double count.


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