Coteccons Construction JSC, the contract builder of the Lego plant in southern Vietnam, has wholly acquired two Singapore-invested infrastructure-focused companies in a bid to expand its operations in this field.
The two target firms are Sinh Nam Metal (Vietnam) Co., Ltd and UG M&E (Vietnam) Limited, Coteccons said in an announcement released Friday, the last day of the 2023 lunar year.
Sinh Nam Metal (Vietnam), established in 2008 under Singapore’s Kimteck Industries, provides aluminum and glass facade solutions for medium to large projects.
Located in the Vietnam-Singapore Industrial Park (VSIP) in Binh Duong province, its factory has a production capacity of 200 square meters of windows and doors and 300-450 m2 of alum curtain walls per day. It was a contractor for a terminal at Noi Bai airport in Hanoi.
Meanwhile, UG M&E Vietnam has more than 10 years of experience in the mechanical and electrical (M&E) sector, focusing on constructing and installing fire protection, water supply and drainage, air conditioning, and electrical systems. It was a contractor for Singapore's Changi airport.
In the fourth quarter of 2023, Coteccons Construction, listed on the Ho Chi Minh Stock Exchange as CTD, announced the acquisition of a construction business and an M&E company.
In the first half of its 2024 fiscal year, Coteccons Construction earned a consolidated net profit of VND135.71 billion ($5.56 million) on revenue of VND9.78 trillion ($400 million), up 8.8-fold and 4.7% year-on-year, according to its latest financial statement.
For its FY2024, the firm aims to make a net profit of VND274 billion ($11.22 million) on revenue of VND17.8 trillion ($728 million).
Its shares closed down 0.45% at VND66,200 ($2.71) apiece on February 7, the last trading day before the one-week Lunar New Year break.