Ho Chi Minh City-based investment firm Vietnam Investment Group (VIGroup) is leading a $2 million Series A funding round in O2O real estate platform Congnhadat.net, the realty portal founder told DEALSTREETASIA. This comes after David Do, investment partner at VIGroup, had come on board as an angel investor in the company’s seed round.
Australian real estate service provider Realestate.com.au also participated in the latest funding round.
The shareholders will get 15 per cent of Congnhadat.net upon closing the deal, valuing the company at over $10 million.
Dominic Vu, the founder of Congnhadat.net, claimed the company had already planned a series B fundraise later this year at a $50 million valuation. “A Vietnamese real estate developer and an international media corporation have expressed their interest in us,” he added.
Congnhadat.net is working with top developers in Vietnam, including Vingroup, Nam Long and Hung Thinh Corp. The real estate e-commerce platform claims to have 1,000 transactions and aims to boost the number to 15,000 by the year-end.
Vu said the new funding will be used to build and train his broker team.
Founded in 2016, Congnhadat.net is offers real estate services in seven major cities in Vietnam with some 230,000 listings of housing properties, as well as providing information about financial packages for the real estate sector.
VIGroup is one of Vietnam’s major private equity firms, having invested in a legion of industries in the country, including manufacturing, transport, hospitality, education, retail, affordable housing, technology, media and entertainment, and finance.
The firm has over $500 million assets under management. It typically targets to hold significant minority stake in portfolio companies and invests within four to six years.
Through the past year, the resurgence of the Vietnam real estate market has been a catapult for tech business in this area. Singapore’s PropertyGuru in October 2016 invested an undisclosed sum of Batdongsan.com.vn as part of its regional push, and that deal had seen Cyberagent Ventures exit the Vietnamese real estate portal.
Also in the year, a similar platform called Gachvang.com raised $500,000 in seed funding.