Vietnam's feed industry is dominated by large foreign firms. (Source: www.avsf.org)
Anova is carrying out a 58.6-million-USD project that will embrace construction of a bulk warehouse in the southern province of Long An, two feed mills in northern province of Hung Yen and southern province of Dong Nai, and will need further working capital.
The project will help Anova develop in the feed industry which has been dominated by large foreign companies such as Thailand’s C.P Group.
The IFC will hand on its global experiences and client network to Anova and also promises a long-term partnership to assist the Vietnamese firm in integrating in the local livestock supply chain. Anova plans to launch an initial public offering within the next few years and the “IFC investment would provide additional comfort to future investors”.
Starting operation in 1992, Anova Corp is one of the leading veterinary medicine companies in Vietnam. The company specializes in importing, manufacturing, and distributing animal health products and raw materials for the veterinary industry.
Anova Corp is 88.8% owned by its Chairman Bui Thanh Nhon and his family. Singapore’s Duxton Asset Management started investment in the company in 2011 and currently holds a 6.8% cent stake.
Prior to the proposed investment for Anova, the IFC had invested 6.5 million USD for around 5% in Pan Group, one of Vietnamese food majors, to support the group’s expansion in the agricultural and food sector.