Vietnam Dealbook: JC&C to buy 10% in REE; Samsung SDS ups stake in CMC

Photo: Peter Nguyen/Unsplash

Jardine Cycle & Carriage Limited announced that it has received approvals for its public tender offer to acquire up to 10.11 per cent stake in Vietnam’s REE while Samsung SDS has bought 5 per cent stake in Vietnamese IT major CMC Corporation.

JC&C gets approval to acquire 10.11% stake of REE

Singapore-listed automotive group Jardine Cycle & Carriage Limited announced that it has received regulatory approvals for its public tender offer to acquire up to 10.11 per cent stake of Vietnam’s Refrigeration Electrical Engineering Corporation (REE).

The offer will be open for acceptance by shareholders of REE, subject to the 49 per cent foreign ownership limit, from September 30 to October 30, JC&C said in an announcement.

In August, JC&C through its wholly-owned subsidiary Platinum Victory Pte Ltd announced public tender registration of 31.3 million shares of REE, equivalent 10.11 per cent stake of the company.

If successful, Platinum Victory will increase its ownership to 108.6 million units, equivalent to 35.01 per cent stake of REE.

According to a report from REE, in addition to Platinum, Apollo Asia Fund is a foreign shareholder holding 5.9 per cent stake, equivalent to more than 18.2 million shares of the company.

Based in Vietnam, Platinum Victory is now a major shareholder of Viet Nam Dairy Products Joint Stock Company (Vinamilk) and Truong Hai Automobile Co., Ltd  (Thaco).

JC&C is a unit under diversified group Jardine Matheson, which also has interest in other Vietnamese businesses, including Asia Commercial Bank, Pizza Hut, KFC Vietnam and several real estate assets.

Samsung SDS ups stake in CMC

Samsung SDS, the system developer unit of South Korea’s Samsung Electronics, has bought 5 per cent stake in Vietnam’s IT major CMC Corporation on the Ho Chi Minh City Stock Exchange. With this, its ownership in the IT major has increased to 30 per cent,  Nikkei Asian Review reported.

The development comes after the Hanoi-based company clinched a strategic investment from Samsung SDS in July, selling a 25 per cent stake to the latter for VND750 billion ($32.3 million).

CMC hopes this expanded partnership with Samsung, which has a global reach, will help to double its overseas sales to more than 30 per cent of its total by 2023, CMC Chairman and CEO Nguyen Trung Chinh told the portal.

In an interview with DealStreetAsia earlier, CMC Chairman said it is looking to set up a subsidiary in South Korea as it plans to expand its global footprint.