Japan Firm Acquires 24.4% Stake in Vietnam Medicine Maker
Japan-based Taisho Pharmaceutical Company has spent an estimated 2.2 trillion dong ($97.8 million) to acquire a 24.4% stake in Hochiminh Stock Exchange-listed DHG Pharmaceuticals JSC.
The Japanese firm bought the stake from other 34 foreign shareholders including Portal Global Limited, Dragon Capital, Vietnam Enterprise Investments Limited and Norges Bank.
Foreign Firms Want Stakes in Cement Giant Vicem
Some investors from Indonesia and Thailand have shown interest in acquiring stakes in Vietnam Cement Industry Corporation (Vicem) when the government cut its stake in the latter to as low as 51%, according to local media.
However, given the current oversupply in the Vietnamese cement market, foreign investors will be cautious about buying into the company, which has an annual output of 20 million tons, according to Stoxplus.
BIDV to Help Boost Vietnamese Investment
Bank for Investment and Development of Vietnam (BIDV) is planning to boost Vietnamese investment into Myanmar once its new branch starts operating later this month, the bank officials said.
“As soon as the bank’s branch has been launched Vietnamese investment and trade will increase significantly,” chief executive officer Dang Hai Nha told The Myanmar Times. “We are ready now to serve our customers here.”
Fast Moving Consumer Goods (FMCG) in the six key cities in Vietnam grew with 3.6% in the first quarter of this year, lower than an increase of 5.7% in the previous quarter, market research company Nielsen said in its latest Market Pulse report.
South Korea’s Dohwa Engineering Company Limited has secured a go-ahead from authorities of Vietnam’s central province of Quang Binh to conduct a pre-feasibility study on developing a biomass energy plant at a cost of $400 million, local media reported.
The 100-megawatt plant, which will produce electricity from plant-based materials, is expected to have its construction kicked off in 2018 and come into operation in early 2020.
State-owned oil and gas company Saudi Aramco has backed off from a joint venture refinery and petrochemical complex in central Vietnam with Thailand’s PTT, petrochemical market information provider ICIS quoted a source from the Thai energy firm as saying.
Saudi Aramco has decided to withdraw from further development of the Nhon Hoi refinery and petrochemical complex project, called Victory project, with effective date of July 1, 2016, the PTT source said.
Total outstanding loans at banks in Vietnam grew 6.82% from the start of this year to June 24, compared to a growth rate of 6.37% in the first half of 2015, according to data of the Credit Department under the State Bank of Vietnam (SBV).
Lending in the Vietnamese dong posted an 8.11% increase in the period, accounting for 90.8% of total credit, while that in foreign currency declined 4.64% from the end of 2015.
Coca-Cola Vietnam has resumed the operation of its three factories that produce supplemented food drinks in Hanoi, Da Nang and Ho Chi Minh City after acquiring certificates from the Ministry of Health, the firm’s External Relations Director Nguyen Khoa My told BizLIVE.
Vietnam's government and enterprises raised 223 trillion dong ($9.91 billion) from selling bonds and shares through local stock exchange in the year to June 28, jumping 85% from a year earlier.
Of the sum, G-bond sales leaped 120% to 180 trillion dong, according to the State Securities Commission.
The UK’s decision to withdraw from the European Union (EU), known as Brexit, will deliver the weakest blow to Vietnam among emerging Asian countries, ANZ
has said in a report released Monday.
“[Vietnam’s] structural changes to its export product mix to the EU mean that Vietnam will continue to report positive growth, albeit at a lower rate,” says the report.
A number of foreign institutions have lowered their forecasts for Vietnam’s economic growth in 2016 after agricultural production experienced for the first time in years a decline in the first half of this year.
The country’s gross domestic product (GDP
) grew 5.52% year-on-year in the first six months of this year, slowing from a 6.32% expansion in the same period of last year.