Japan’s Aeon to build $35M mall in Hanoi satellite town

By Anh Tu October 20, 2024 | 09:08 pm PT

An employee prepares food at an Aeon outlet in Ho Chi Minh City. Photo courtesy of Aeon Vietnam

Japanese retailer Aeon plans to build a US$35-million mall in Ha Nam Province 65 kilometers south of Hanoi, and signed a memorandum of understanding with local authorities on Saturday.

Ha Nam chairman Truong Quoc Huy said the province backs the company’s efforts, which mark a milestone in the province’s journey to attract more investment.

Aeon has been expanding quickly in Vietnam, and now has seven malls in key localities like Hanoi and HCMC with a total area of 462,000 square meters.

Aeon Mall posted revenues of JPY8.2 billion (US$55 million) in Vietnam between March and August, up 14% year-on-year, and pre-tax profits of JPY2.4 billion ($16 million), a 21% rise, according to a company financial disclosure.

This represented nearly 40% of Aeon Mall’s overseas profits. The company has invested $1.5 billion in Vietnam in the last 10 years.

Ha Nam, a satellite town of Hanoi, has eight industrial parks that house 582 projects. Property developers have been pouring investment into the province.

In August resort and entertainment property developer Sun Group began work on a VND35 trillion project spanning 420 hectares.

A residential project is being developed by Flamingo, and another one, to cost an estimated VND4.8 trillion, is planned by Taseco Land.