108 foreign investors hold 26.8% stake in Vietnam's industrial giant Thaco

Vietnam’s industrial conglomerate Truong Hai Group (Thaco) has reported a charter capital of VND30.51 trillion ($1.16 billion), with domestic private capital accounting for 73.2% and 108 foreign investors holding the remaining 26.8% stake.

Singapore-listed Jardine Cycle & Carriage (JC&C) is the largest foreign shareholder in Thaco at VND8.13 trillion ($308.43 million), equivalent to 26.6%.

JC&C is an investment holding company with a focus on the dynamic economies of Indonesia and Vietnam. Its portfolio includes industry-leading businesses across multiple sectors within these countries, as well as broader interests in other regional markets.

In addition to its investment in Thaco, JC&C is the largest shareholder in Ho Chi Minh City-based utility firm Refrigeration Electrical Engineering Corporation (HoSE: REE) with a 41.4% stake and holds 10.6% of Vinamilk, Vietnam’s largest dairy firm. These two listed-equity investments are currently valued at over VND27 trillion (about $1.02 billion).

Of the 108 foreign investors, 107 are largely linked to South Korea, for example via Korean addresses. Their individual contributions range from VND10 million ($380) to VND9 billion ($341,556).

Thaco was founded on April 29, 1997 in Dong Nai province, southern Vietnam, by Tran Ba Duong, now company chairman.

From a company which mainly traded and repaired second-hand vehicles, Thaco has evolved into a multi-industry holding corporation which has six sub-holdings - Thaco Auto (Automobiles), Thaco Industries (Mechanics & Supporting Industries), Thaco Agri (Agriculture), Thadico (Investment – Construction), Thiso (Commerce – Service), and Thilogi (Logistics) under a highly integrated and complementary model.

In 2024, Thaco reported a consolidated after-tax profit of VND3.23 trillion ($122.5 million), up 18% year-on-year, with the bulk coming from Thaco Auto, which posted a pre-consolidation after-tax profit of VND4.41 trillion ($167.36 million).

The group's consolidated after-tax profit in 2023 was VND2.73 trillion ($103.76 million), down 63% year-on-year to its lowest level in nine years.

At a meeting with Deputy Prime Minister Ho Duc Phoc on September 9, Duong briefed him on the group's investment plans in the urban railway sector as well as cooperation prospects between Thaco and Hyundai Rotem, a mechanical engineering company under Korean chaebol Hyundai Group, in this field.

Thaco is proposing studying investments in the Ben Thanh-Thu Thiem-Long Thanh railway line and Metro Line 2 (Ben Thanh-Tham Luong), both in Ho Chi Minh City. It has also proposed to invest in the trans-Vietnam high-speed railway project, following a similar proposal from heavyweight Vingroup.

In a proposal submitted to Prime Minister Pham Minh Chinh on May 26, Thaco said that of the $61.35 billion in investment capital, 20% will come from its equity and the remaining from foreign and domestic loans.