Deo Ca Group-led consortium invests in northern Vietnam expressway

By My Anh, Minh Hue
Wed, December 6, 2023 | 10:19 pm GMT+7

A consortium led by Deo Ca Group has been selected as the investor to implement the first phase of the Dong Dang-Tra Linh Expressway project connecting Lang Son and Cao Bang provinces in northern Vietnam.

The consortium comprises Deo Ca Group, ICV Vietnam Investment and Construction JSC, Deo Ca Transport Infrastructure Investment JSC (HHV) and 568 Construction JSC.

Deo Ca Group chairman Ho Hoang Minh. Photo by The Investor/My Anh.

Deo Ca Group chairman Ho Hoang Minh. Photo by The Investor/My Anh.

The first phase of the project, with a total investment capital of VND14.17 trillion ($583.63 million), will be conducted in the public-private partnership (PPP) format.

On November 28, the National Assembly had passed a resolution piloting a number of specific mechanisms and policies on investment in the construction of road traffic projects, which allows the proportion of state capital in PPP projects to exceed 50% of the total investment.

Two projects that will pilot this mechanism are the Dong Dang-Tra Linh Expressway, which will have a state contribution ratio of 70%; and the Thai Binh coastal road, with 80%.

Tran Hong Minh, chief of Cao Bang province's Party Committee, said that competent state agencies have actively coordinated with ministries and sectors to make project investment policy adjustments and held negotiations to sign contracts with investors.

"Top priority should be given to this project,” he stressed, adding that Cao Bang province will start construction of the Dong Dang-Tra Linh PPP Expressway next spring.

Deo Ca Group chairman Ho Hoang Minh has asked for joint efforts by local authorities to help complete the project on schedule.

"Deo Ca Group will see this project as a field to train workers, engineers and managers. We will cooperate with universities and colleges to provide practical training for workers and engineers," he said.

The joint venture plans to apply the "3P+" capital mobilization model derived from 15 years of experience that the group has in investing, constructing, managing and operating large-scale traffic PPP projects.

Under this model, the project contractor also serves as the investor to implement it under EC (engineering and construction) and EPC (engineering, procurement and construction) contracts.

The "3P+" model also raises capital from diverse sources, increasing capital mobilization efficiency and minimizing capital-related risks throughout the project implementation process. P1+ is the state capital contribution, both central and local; P2+ is equity from private and state-owned enterprises; and P3+ is capital mobilized through credit, bonds, business cooperation contracts (BCC) and other sources.

Phase 1 of the Dong Dang-Tra Linh Expressway has a length of 93.35 kilometers, starting at the intersection of Tan Thanh border gate in Van Lang district, Lang Son province and ending at the intersection with National Highway 3 in Chi Thao commune, Quang Hoa district, Cao Bang province.

In the first phase, expected to be completed in 2026, the expressway will allow vehicles to run at a maximum speed of 80 km/h.

Deo Ca, known as the "Tunnel King" in Vietnam, is well known for building the Co Ma, Deo Ca, Cu Mong and Hai Van 2 tunnels. It has also built the Bac Giang-Lang Son Expressway; Trung Luong-My Thuan Expressway, and completed packages for major projects on the North-South Expressway.

Comments (0)
  • Read More
Japanese retailer Aeon to debut another northern Vietnam shopping mall by end-2026

Japanese retailer Aeon to debut another northern Vietnam shopping mall by end-2026

Japanese-backed Aeonmall Vietnam is ramping up construction on its Aeon Mall Ha Long project in Quang Ninh province, home to Ha Long Bay, with an aim to open it to the public by end-2026.

Industries - Tue, September 16, 2025 | 3:54 pm GMT+7

Hanoi terminates Vinaxuki auto plant project, repurposes land for commercial complex

Hanoi terminates Vinaxuki auto plant project, repurposes land for commercial complex

A long-stalled automotive manufacturing project by Xuan Kien Auto JSC (Vinaxuki) has been officially terminated by Hanoi authorities, and the reclaimed land in Phuc Thinh commune will be repurposed for a new commercial and service complex.

Industries - Tue, September 16, 2025 | 2:44 pm GMT+7

Central Vietnam province reviews investment proposal for thermal power project after Thai EGATi pullout

Central Vietnam province reviews investment proposal for thermal power project after Thai EGATi pullout

Authorities in the central province of Quang Tri are evaluating a proposal from Power Generation JSC 1 (EVNGENCO 1), a subsidiary of state utility Vietnam Electricity (EVN), to take over the Quang Tri thermal power plant project, following the withdrawal of Thai investor EGATi.

Energy - Tue, September 16, 2025 | 1:44 pm GMT+7

Amata to sell stakes worth $46 mln in Vietnam units to Novaland-tied buyers

Amata to sell stakes worth $46 mln in Vietnam units to Novaland-tied buyers

Amata VN, the Vietnam arm of Thailand’s leading industrial park developer Amata, has approved a plan for its subsidiary Amata City Long Thanh Urban JSC (ACLT) to sell its remaining 51% stakes in two entities to local developer Novaland-linked buyers.

Real Estate - Tue, September 16, 2025 | 12:19 pm GMT+7

Vietnam already meets FTSE's criteria for stock market status upgrade: Finance Minister

Vietnam already meets FTSE's criteria for stock market status upgrade: Finance Minister

Vietnam has fulfilled the criteria for a stock market status upgrade by FTSE Russell through reforms aimed at facilitating foreign investment inflows into its market, said Minister of Finance Nguyen Van Thang.

Economy - Tue, September 16, 2025 | 9:36 am GMT+7

Banks should be allowed to distribute, invest in mutual fund certificates: Vietnam's finance ministry

Banks should be allowed to distribute, invest in mutual fund certificates: Vietnam's finance ministry

The Ministry of Finance is proposing a key reform that would allow commercial banks to invest in and distribute mutual fund certificates, as part of a broader plan to restructure the investor base and foster the development of Vietnam’s fund management industry.

Finance - Tue, September 16, 2025 | 8:00 am GMT+7

E-commerce boom a major driver of Vietnam's packaging paper industry growth

E-commerce boom a major driver of Vietnam's packaging paper industry growth

Vietnam's paper packaging industry is entering a period of strong growth, with an average annual growth rate forecasted at 10% until 2030.

Companies - Mon, September 15, 2025 | 10:20 pm GMT+7

Vietnam needs support from UK in developing international financial center: Deputy PM

Vietnam needs support from UK in developing international financial center: Deputy PM

Permanent Deputy Prime Minister Nguyen Hoa Binh has called on the UK and the City of London to continue supporting and accompanying Vietnam in promoting and introducing its international financial center (IFC).

Finance - Mon, September 15, 2025 | 10:12 pm GMT+7

Vietnam enforces 8% capital adequacy ratio for banks from Sept 15

Vietnam enforces 8% capital adequacy ratio for banks from Sept 15

Commercial banks and foreign bank branches in Vietnam must maintain a minimum capital adequacy ratio (CAR) of 8%, including at least 4.5% in Tier 1 core capital and 6% in Tier 1 capital, starting from September 15.

Banking - Mon, September 15, 2025 | 10:04 pm GMT+7

Tool for wood traceability management debuts in Vietnam

Tool for wood traceability management debuts in Vietnam

The Vn-WoodID application has been officially launched in Vietnam, becoming a key tool contributing to wood traceability.

Companies - Mon, September 15, 2025 | 10:00 pm GMT+7

Sun Group, US Embassy foster aviation-hospitality cooperation

Sun Group, US Embassy foster aviation-hospitality cooperation

Sun Group, in collaboration with the US Embassy in Vietnam, hosted the US – Vietnam Aviation Partnership Roundtable on September 12, bringing together 15 leading American corporations in aviation, technology, and financial services, opening up opportunities to position Phu Quoc as a new aviation and tourism hub in the region.

Companies - Mon, September 15, 2025 | 9:54 pm GMT+7

Vietnam tops Thai giant SCG’s overseas markets with 9% revenue contribution in H1

Vietnam tops Thai giant SCG’s overseas markets with 9% revenue contribution in H1

Vietnam remained the largest overseas market for Thailand’s Siam Cement Group (SCG) in the first half of 2025, contributing 9% of consolidated sales.

Companies - Mon, September 15, 2025 | 8:10 pm GMT+7

Central Vietnam to have new airport Mang Den

Central Vietnam to have new airport Mang Den

Procedures to adjust Vietnam's airport system planning, including the addition of Mang Den Airport in central Vietnam, are being proceeded, according to the Ministry of Construction.

Infrastructure - Mon, September 15, 2025 | 5:16 pm GMT+7

Vietnam's government seeks to position country as 'regulated hub for digital assets in Asia': Dragon Capital

Vietnam's government seeks to position country as 'regulated hub for digital assets in Asia': Dragon Capital

The Vietnamese Government has advanced the regulation of digital assets, with a resolution launching a five-year pilot framework for issuance and trading. This framework signals the Government’s intent to position the country as a regulated hub for digital assets in Asia, which could attract new capital inflows, write Dragon Capital analysts.

Economy - Mon, September 15, 2025 | 2:20 pm GMT+7

Agribank introduces sizable $4.17 bln preferential credit package

Agribank introduces sizable $4.17 bln preferential credit package

Right from the beginning of 2025, Agribank launched a substantial preferential credit package worth VND110 trillion ($4.17 billion) to support individual customers.

Companies - Mon, September 15, 2025 | 1:32 pm GMT+7

'Precious space' in Vietnam's monetary policy

'Precious space' in Vietnam's monetary policy

The Federal Reserve's continued cuts in 2025, with the most recent in September, are considered a valuable policy "space" for the State Bank of Vietnam (SBV) to maintain low interest rates to support growth without having to worry too much about exchange rates.

Economy - Mon, September 15, 2025 | 10:15 am GMT+7