French household appliances Groupe SEB has bought a 51 percent stake inVietnam Fan Joint Stock Co, allowing the French firm to take control ofthe Vietnamese ventilator maker, confirmed Tran Thach Quang, Vietnam FanCo's marketing director.
Quang declined to disclose thevalue of the deal but said the outstanding shares were still in thehands of the founding family and employees.
An agreement formalising the purchase is scheduled to be signed on May 19 in HCM City .
Quang said besides this capital contribution, SEB agreed to invest inhuman resources in business management, marketing and manufacturing ofkey products.
"In every section, Vietnam Fan's employeeswill work with SEB's experienced professionals with the common goal ofdeveloping our brand-name with fans as our major product," Quang said.
He said both parties also agreed SEB would not sell their fans atVietnam Fan retail stores but focus on building Vietnam Fan brandedproducts, boosting their market shares on the back of a more intensecompetitive market.
Vietnam Fan Co, established in 1990,specialises in manufacturing and marketing fans, mainly with theASIAvina brand. It currently holds 25 percent of the domestic market,and owns 40 proprietary stores and two industrial sites. Last year, thecompany's revenue reached 15.67 million USD.
This majoritystake in the local company would allow the French group to strengthenits foothold in a market of nearly 90 million consumers where sales ofsmall domestic appliances were increasing due to rising incomes andeconomic growth, the group said in a press release.
"Thetake-over of Vietnam Fan is perfectly in line with our strategy ofdevelopment in emerging countries," said Thierry de La Tour d'Artaise,chairman and CEO of Groupe SEB. "Beyond our presence in Vietnam , itwill also open doors to other markets in South-East Asia "./.
Quang declined to disclose thevalue of the deal but said the outstanding shares were still in thehands of the founding family and employees.
An agreement formalising the purchase is scheduled to be signed on May 19 in HCM City .
Quang said besides this capital contribution, SEB agreed to invest inhuman resources in business management, marketing and manufacturing ofkey products.
"In every section, Vietnam Fan's employeeswill work with SEB's experienced professionals with the common goal ofdeveloping our brand-name with fans as our major product," Quang said.
He said both parties also agreed SEB would not sell their fans atVietnam Fan retail stores but focus on building Vietnam Fan brandedproducts, boosting their market shares on the back of a more intensecompetitive market.
Vietnam Fan Co, established in 1990,specialises in manufacturing and marketing fans, mainly with theASIAvina brand. It currently holds 25 percent of the domestic market,and owns 40 proprietary stores and two industrial sites. Last year, thecompany's revenue reached 15.67 million USD.
This majoritystake in the local company would allow the French group to strengthenits foothold in a market of nearly 90 million consumers where sales ofsmall domestic appliances were increasing due to rising incomes andeconomic growth, the group said in a press release.
"Thetake-over of Vietnam Fan is perfectly in line with our strategy ofdevelopment in emerging countries," said Thierry de La Tour d'Artaise,chairman and CEO of Groupe SEB. "Beyond our presence in Vietnam , itwill also open doors to other markets in South-East Asia "./.
