Value add real estate fund

The divestment of three state-owned tourist companies is expected to present a vast opportunity for foreign investors. Saigontourist owns stakes in several popular four- and five-star hotels in Ho Chi Minh City Foreign investors and consultants are eagerly awaiting the chance to invest in these businesses when their initial public offerings (IPOs) are launched in the near future. Kenneth M. Atkinson, founder and senior board adviser of consultancy service provider Grant Thornton Vietnam, told VIR that the three have exciting potential as a result of their impending equitisation. Several large investment banks, according to Atkinson, have been eyeing Saigontourist for years because of the potential foreign investor interest, and the same would also be true of Hanoitourist. “The opportunities come from the prime property portfolio, particularly in the case of Saigontourist and its iconic hotels such as the Continental, Rex, and Majestic, and more modern properties like the … [Read more...] about Tourism SOE trio makes for IPO gold

Vietnam is being encouraged to focus more on developing a skilled workforce, the domestic private sector, and improvement of regulations to attract companies on the Fortune Global 500 list to serve the new development era.  Vietnam prepares itself for the new development era to attract more FDI  Losing an hour in a 10km-long traffic jam, Marcel Reymond, head of ­economic co-operation at the Embassy of Switzerland in ­Vietnam, eventually reached the ­National Convention Centre to attend last week’s Vietnam Reform and ­Development Forum 2019 (VRDF 2019) – an event attracting around 500 domestic and international experts worldwide. “I tried to manage the time well despite the heavy traffic. If I was a company owner, I would lose a lot of money because I had to wait for my materials for my staff,” he said. “If Vietnam wants to attract companies on the Fortune Global 500, the ­country will need better … [Read more...] about Reaching high for the Fortune Global 500

Sectors from education and banking to retail and real estate can be winners in M&A, Photo: Le Toan"> Sectors from education and banking to retail and real estate can be winners in M&A, Photo: Le Toan The last decade up to 2018 was a robust one for cross-border mergers and acquisitions (M&A) deals in Vietnam, with $50 billion worth of deals signed and investors all over Asia flocking into the fast-growing market via local partnerships. However, there are signs of a slowdown in action, as in the first half of 2019 deal value in Vietnam was only $1.9 billion – or half of the on-year figure. At last week’s Vietnam M&A Forum 2019 held by VIR and AVM Vietnam, experts from various sectors, policymakers, and corporate leaders discussed the matter in depth, under the theme “Going for Breakthrough”. Three panel discussions touched on different aspects of M&A in Vietnam, but all strived to figure out the next driver of growth for the domestic … [Read more...] about Higher standards sought for M&A

Companies issue $7.7b worth of bonds in nine months The nine-month value is equal to nearly 80 per cent of the total bond issuance value in 2018. The figure is also lower than the total registered value of nearly VND276.9 trillion (nearly $12 billion), which means nearly VND98 trillion bonds were unsold. In September, 28 companies made 60 issuances with total capital raised of VND19.4 trillion (excluding international bond issues). Most bonds were three-year term with total value of VND13.5 trillion. Interest rates of bonds issued in September ranged between 6 per cent and 11 per cent per annum. Banks were the main player in the bond market with total issuance value of VND14.1 trillion in September, accounting for 72.78 per cent of total market value. Real estate companies followed with VND965 billion (4.97 per cent) and securities firm with VND413 billion (2.13 per cent). Bonds issued by banks also had the lowest interest rate, averaging only 6.71 per cent per year. Some companies … [Read more...] about VIETNAM BUSINESS NEWS OCTOBER 18