Electronic device distributor Digiworld Corporation will list its share on the Ho Chi Minh City Stock Exchange in August, the company said in a statement.
If the market conditions are favourable, the company’s revenue and profit are set to reach VND7.3 trillion ($339.5 million) and VND178 billion, rising 50 per cent and 39 per cent, respectively. Digiworld hopes to post a minimum of 25 per cent growth in profit, even if the market conditions are not fabourable .
This year, the company has become the exclusive distributor of Obi Mobiles affordable smartphones, developed by former Apple chief executive John Sculley, following a deal with Japan’s Ricoh printing machines.
Obi Mobiles produces smartphones at low prices (often ranging between $70-200), targeting competition with China’s Xiaomi and Lenovo. Its products are being sold in India, the Middle East and Singapore.
Founded in 1997 initially as Hoang Phuong Company, Digiworld has become the official distributing partner of large global electronic and mobile brands in Vietnam. This includes brands like Acer, Asus, Dell, HP, Toshiba, Microsoft and Philips.
Last year, it inked contracts with Xiaomi and France’s smartphone producer Wiko, to sell their products in the country.
The mobile device business, which is a high growth segment, is expected to contribute up to 70 per cent of Digiworld’s 2015 sales. Laptops will account for 35 per cent, and the remaining five per cent will come from its office equipment business.
The company has been one of the Vietnam’s 500 largest businesses for eight successive years and has attracted a $5 million investment from private equity firm Mekong Capital’s Mekong Enterprise Fund II, which exited it after five years in 2013.
The company said it will raise the charter capital from the current VND108 billion.