By Nguyen Thi Bich Ngoc
Vietnam has hosted several events to showcase new potential startups. Concluding 2016, the Vietnam Startup Festival on December 29 – themed ‘The Pioneer Dream’ – featured newly awarded startups, both bootstrapping and VC-backed companies, which are poised to attract a lot of attention.
Towards the last couple of months of the year, a spate of investment consortia were formed, namely the joint ventures between Warburg Pincus and VinaCapital, Kajima and Indochina Capital, and Sunwah and Saigon Asset Management, and the $500 million fund by CapitaLand.
Experts have consensed that one of the most visible improvements of the Vietnam startup ecosystem in 2016 is a stronger corporate M&A activity.
Of the 73 million shares Vietjet is offloading, a number of nearly 6.6 million, or over 2.6 per cent of its charter capital, were transferred to three investment funds, Wareham Group Limited, Dragon Capital and DC Developing Markets Strategies.
Stake sales of Vietnam’s state-owned biggies failed to happen or attract buyers in 2016, even as the government mulls to put 12 state-owned enterprises (SOEs) up for sale to curb mounting public debt. Most of the time, Vietnam is either not used to working with private, international investors, or skeptical if it can sell the businesses at a good price.
On the exit side, most of the top deals were made by domestic investors, including VinaCapital and Mekong Capital. The majority of the transactions were completed through the stock exchange.
The investment is facilitated by Lemon Grass Master Fund, a Cayman Island-incorporated investment vehicle which had earlier invested $37 million in SonKim Land in 2013.
Around 30 international institutions subscribed to Vietjet’s first offer, including Singapore sovereign fund GIC, Morgan Stanley, Mirae Asset, Dragon Capital and VinaCapital.
“We will not sell the VinMart+ chain at any offered price,” Vingroup declined the Inside Retail Asia report in a statement sent to DEALSTREETASIA.
Vietnamese P2P lending startup Tima has closed a US dollar 7-figure series A funding from a Singapore fund to accelerate service growth in the local market, a senior executive of the company told this portal.