Electric vehicle maker VinFast attracts $2.5 bln in new funding pledges led by Vingroup chair
Fresh funding pledges of up to $2.5 billion, led by $1 billion from Vingroup chairman Pham Nhat Vuong, have been announced for VinFast’s development to enable the Vietnamese electric vehicle maker to achieve its global growth goals.
Vuong and Vingroup intend to contribute $1 billion and $500 million, respectively, by way of non-refundable grants, said VinFast - the car unit of Vingroup.
The EV maker said its parent conglomerate may offer a further $1 billion with a maximum tenure of five years. The $1 billion sum from Vingroup founder Vuong will be donated within the next year.
With further financial support, VinFast will have access to more resources to boost its development and accelerate its growth objectives in the global market, the company said.
“This is a pivotal period for VinFast to accelerate towards a solid competitive position in the global electric vehicle market,” said Vingroup CEO Nguyen Viet Quang.
“The grant and loan of $1.5 billion is Vingroup's additional capital contribution for the breakthrough development of VinFast in the future. This is also a once-in-a-lifetime opportunity for the development of Vietnam’s industry.”
A representative for the Vingroup chairman said to build a national brand that can compete in the international market is particularly difficult and challenging, and even requires sacrificing immediate benefits.
“Mr. Pham Nhat Vuong plans to donate some of his personal assets to energize VinFast during the pivotal acceleration period to create a mark for Vietnam in the world’s electric vehicle market.”
VinFast was established in 2017 and became a wholly EV company specializing in designing and manufacturing electric cars and motorbikes in 2022. VinFast has introduced six EV models across all popular segments, A to E, one electric bus model, and nine electric motorbikes, and exported nearly 3,000 electric cars to foreign markets.
In Vietnam, VinFast has established itself as a popular national brand. Internationally, VinFast is steadily expanding its business. Following the export of its second batch of cars to the U.S. and Canada in April, the maker’s EVs are expected to be launched on the streets of France, Germany, and the Netherlands later this year.
VinFast expects to inaugurate its U.S. manufacturing complex in North Carolina in 2025. It announced in March last year that it would build the North Carolina complex with a total of $4 billion in investment, and the plant will create more than 7,000 jobs and manufacture 150,000 EVs a year.
- Read More
Germany’s PNE opens rep office for $4.6 bln offshore wind project in central Vietnam
Germany’s PNE AG, a leading developer of renewable energy projects, has shown its determination to proceed with a mega offshore wind power project in central Vietnam by opening a representative office there.
Energy - Thu, October 31, 2024 | 2:43 pm GMT+7
Saudi Arabian energy giant ACWA Power ready to invest $5 bln in Vietnam
Saudi Arabian private energy giant ACWA Power stands ready to invest up to $5 billion in Vietnam, a senior executive said Wednesday.
Industries - Thu, October 31, 2024 | 2:39 pm GMT+7
Effective M&A deal depends on thorough understanding, value addition potential: Kido exec
An effective M&A transaction depends on fully understanding the company being acquired in order to create added value, says Kido Group CEO Tran Le Nguyen.
Companies - Thu, October 31, 2024 | 1:22 pm GMT+7
No budget apartments in Vietnam, chronic supply-demand gap widens
Vietnam saw no supply or transaction of low-cost apartments priced below VND25 million ($988) per square meter in the third quarter, says a real estate report by the Ministry of Construction.
Real Estate - Thu, October 31, 2024 | 1:10 pm GMT+7
Vietnam steel major SMC remains bogged down with difficulties
Steel manufacturer SMC Trading Investment JSC has been actively selling assets to generate cash for debt repayment and maintain operations since the beginning of this year.
Companies - Thu, October 31, 2024 | 10:41 am GMT+7
Vinhomes’ earnings fall 39% to $777 mln in Jan-Sep
Vinhomes, the largest residential housing developer in Vietnam, booked a net profit of VND19,642 billion ($777 million) in the first three quarters this year, down 39.2% year-on-year.
Companies - Thu, October 31, 2024 | 9:58 am GMT+7
AI cannot replace customer service staff: MoMo exec
AI cannot replace customer service staff, but it can give them more time to prepare and provide better care for customers, says Thai Tri Hung, senior deputy general director and chief technology officer of e-wallet app MoMo.
Companies - Thu, October 31, 2024 | 8:11 am GMT+7
Vietnam property developer Novaland posts skyrocketing Q3 profit
Novaland, a leading real estate developer in Vietnam, reported its after-tax profit hit VND2.95 trillion ($166.62 million) in the third quarter of this year, a 21.6-fold rise year-on-year.
Companies - Wed, October 30, 2024 | 10:59 pm GMT+7
Thailand fruit prices increase at the end of successful season
Thailand’s fruit season is wrapping up this year with a notable surge in prices for durian, mangosteen, rambutan, longkong, and mango.
Southeast Asia - Wed, October 30, 2024 | 10:30 pm GMT+7
BlackBerry launches regional cybersecurity headquarters in Malaysia
Canada-based BlackBerry Ltd has established an Asia Pacific regional headquarters for its cybersecurity division in Cyberjaya, Malaysia, which is now fully operational.
Southeast Asia - Wed, October 30, 2024 | 10:27 pm GMT+7
Malaysia faces rising cybersecurity threats
Malaysian users are facing a high level of cyber threats, which may coincide with the rapid expansion of data centers in the country.
Southeast Asia - Wed, October 30, 2024 | 10:24 pm GMT+7
Indonesia to develop 3 million more hectares of rice fields
The Indonesian government is working to implement a program to develop 3 million hectares of new rice fields to strengthen the country's food resilience amid global challenges and increasing population demands, national news agency Antara reported.
Southeast Asia - Wed, October 30, 2024 | 9:24 pm GMT+7
Singapore’s digital economy thriving
Singapore’s digital economy accounted for 17.7% of the island state's GDP in 2023, up from 17.3% in the previous year, according to its Infocomm Media Development Authority (IMDA).
Southeast Asia - Wed, October 30, 2024 | 9:21 pm GMT+7
Viettel, UAE’s Presight to boost Applied AI, digital transformation in Vietnam
Vietnam’s Viettel AI and the UAE’s Presight have agreed to jointly advance the development of Applied AI and digital transformation initiatives in Vietnam.
Companies - Wed, October 30, 2024 | 8:30 pm GMT+7
Vietnam utility EVN to build $277 mln transmission line to import power from China
State utility Vietnam Electricity (EVN) has got the go head to build the VND7,010 billion ($277.2 million), 500 kV Lao Cai-Vinh Yen line for transmission in the northwestern region and to import power from China.
Energy - Wed, October 30, 2024 | 8:09 pm GMT+7
Jack Ma-invested fund unloads Vietnam holdings worth $130 mln in Q3
China’s Tianhong Vietnam Market Stock Initiated Securities Investment Fund (QDII) saw outflows of around RMB930 million ($130.4 million) in the July-September quarter.
Finance - Wed, October 30, 2024 | 4:53 pm GMT+7