Thai chemical major Indorama Ventures said it will acquire VinaCapital-backed plastic packaging firm Ngoc Nghia. In a separate development, Vietnamese payment unicorn MoMo has acquired Nhanh.vn, an online sales management software provider.
Indorama Ventures to buy VinaCapital’s portfolio company
Thai chemical group Indorama Ventures is acquiring shares in Ngoc Nghia Industry – Service – Trading Joint Stock Company, a Vietnam-based plastic packaging firm, according to an announcement.
Indorama Ventures said that, through its affiliate Indorama Netherlands B.V., the company will make a tender offer to acquire all of Ngoc Nghia’s shares. The transaction is expected to be completed by the first half of 2022.
Ngoc Nghia is backed by a consortium led by Vietnam-based asset manager VinaCapital, which invested $21.4 million in the company in 2019. Ngoc Nghia currently trades its shares on the Unlisted Public Companies Market at a market capitalisation of $75 million.
The company has four manufacturing sites in Vietnam, with a total production capacity of approximately 5.5 billion units of Polyetylen terephtalat (PET) preforms, bottles and closures, or equivalent to a PET conversion of 76,000 tonnes per annum, according to Indorama Ventures.
Vietnam “is positioned to be the ASEAN production hub for the Asia Pacific region. Moreover, Vietnam’s PET packaging market is expected to grow continuously due to strong growth in consumption and improving living standards,” said D K Agarwal, CEO of combined PET, IOD and fibers business at Indorama Ventures.
He added that combined PET has been Indorama Ventures’ largest business segment.
MoMo acquires e-commerce enabler Nhanh.vn
Vietnam’s payment unicorn MoMo has acquired shares in local multi-channel sales management software startup Nhanh.vn, per a statement.
Nhanh.vn serves 80,000 local businesses with services including online sales management software, website design services, and portals that connect sellers to logistic companies and support sales on Facebook and e-commerce platforms.
The acquisition will help MoMo support the digital transformation of MSMEs at a low cost through Nhanh.vn’s solutions, said Nguyen Manh Tuong, vice chairman and co-CEO of MoMo.
Nhanh.vn was incubated by VNP Group Joint Stock Company, and was spun off in 2019. It is locally known as Vat Gia.
MoMo has recently raised a $200-million Series E investment, which valued the “super app” at over $2 billion. In the company’s Series D announcement a year ago, MoMo said it had launched Innovation Ventures, its own investment arm to back local startups that could be integrated into its own ecosystem.
In June last year, the fund acquihired VC-backed artificial intelligence (AI) startup Pique, formerly NextSmarty, to enhance what it calls an “AI first” strategy.