Vingroup reports acquisition, sale of multiple companies

By Minh Son April 5, 2021 | 09:00 pm PT

The entrance to Phu Quoc Island’s Vinpearl Safari, a wildlife care and conservation park. Photo by Shutterstock/Diego Fiore.

Vietnam's biggest private conglomerate Vingroup sold stakes in five companies and acquired shares in six others last year, according to its audited consolidated financial statement.

It sold 80 percent each of MV Real Estate JSC and the MV1 Real Estate JSC to Mitsubishi Corporation and Nomura Real Estate Development of Japan, and 90 percent of S-Vin Vietnam Real Estate Trading JSC to Japanese real estate company Samty Co., Ltd.

Vingroup earned profits of nearly VND16.9 trillion ($728.45 million) from the three deals.

It also sold a 25 percent stake in Phu Quoc Tourism Development and Investment JSC for a profit of over VND1.4 trillion, and currently owns a 5 percent stake.

The conglomerate signed a deal with the Phu Quoc Tourism Development and Investment JSC to operate hotels, golf courses and beachfront villas in Phu Quoc Island’s Bai Dai ecotourism area and Vinpearl Safari.

It sold a 40 percent stake in animal feed company Viet Thang Feed JSC and now owns 26.34 percent of it.

Vingroup spent over VND15 trillion to buy mining company Huong Hai-Quang Ngai Company Limited, real estate companies Dai An Investment Construction JSC and Nguyen Phu Trading Investment JSC, and hotel and restaurant operating firms Hon Mot Tourism JSC and Cam Ranh Invest JSC.

It bought a 96.5 percent stake in Bao Lai Investment JSC, which mines and processes white marble to produce ground calcium carbonate powder for VND2.7 trillion. Last year Bao Lai reported a loss of VND367 billion.

Vingroup reported revenues of VND110.4 trillion, down 15.5 percent from 2019. Its pre-tax profit was VND13.9 trillion, a year-on-year decrease of 10.7 percent.