Vietnam will see big Merger and Acquisition (M&A) cases in the 2013-2017 period with the participation of privatised state-owned enterprises and foreign partners.
The privatisation of Vietnam Airlines is a big opportunity for investors
This information was given as a press release from the Vietnam M&A Forum held in Hanoi on July 16.
M&A cases will continue focusing on industry, consumer consumption, finance, banking and real estate. Many investors have paid attention to the privatisation of Vietnam Airlines as well as the restructuring of MobiFone and VinaPhone.
According to several experts, the Vietnamese M&A market could reach the value of around USD4 billion this year. The research team of Vietnam M&A Forum said that the market should attain an annual growth of 25-30% in the years to come.
Since 2009, total value of M&A cases in Vietnam was estimated at 14.8 billion, including the record high figure of USD5 billion in 2012. The market witnessed annual growth of 65% with many large-scale M&A cases involving Vingroup, Masan, Kinh Do and Viettel.
Big M&A cases in Vietnam have seen the participation of foreign investors since 2011 when they accounted for 66% of the transcation value.
Early 2012 most of large-scale M&A cases attracted foreign partners: Bank of Tokyo--Mitsubishi bought 20% of VietinBank at USD743 million. Thailand ’s Siam Cement Group acquired 8% of Prime Group’s shares worth USD240 million and Gresik bought 70% of Thang Long Cement at USD230 million.
This August (2013) the largest annual M&A forum in Vietnam will be held in Ho Chi Minh City and is expected to attract leaders from more than 500 domestic and international corporations, groups and companies. This forum will sum up M&A activities in the country over the past five years and forecast the trends and opportunities for the coming years.
