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Singaporean firms eye M&A opportunities in Vietnam

Mergers and Acquisitions (M&As) by Singaporean companies in Vietnam reached 72 million USD during the past 12 months, accounting for 9 per cent in terms of quantity and 3 percent in terms of value of all M&A deals.
Mergers and Acquisitions (M&As) by Singaporean companies in Vietnamreached 72 million USD during the past 12 months, accounting for 9 percent in terms of quantity and 3 percent in terms of value of all M&Adeals. The total value of M&As in the local marketwas estimated at 2.5 billion USD during the twelve months from Augustlast year, the highest level in a decade. The figure forSingaporean investors increased by more than three times compared tolast year's level, which stood at 23 million USD, and is an all-timehigh for Singaporean investors here.
According toLondon-based financial data provider Mergermarket, since August 2007,Singaporean companies have invested around 203 million USD in theVietnamese market and carried out more than ten M&A deals. These M&As were mostly in the chemical and biotechnologyindustries, while the construction, consumer goods, transport andfinancial sectors also saw deals. Most notable was theacquisition of Fortis Healthcare International for a 65 percent stake inHoan My Medical Corporation at 64 million USD in August last year. Thecompany's name was then changed to Fortis Hoan My Group.
Earlier in 2008, Singaporean automotive group Jardine Cycle and Carriagepurchased a 12-per-cent stake in Truong Hai Auto for 41 million USD. While Singaporean firms were increasingly expanding M&As inVietnam, Japanese investors still dominated with eight deals worth up to803 million USD during the last 12 months. AlthoughFrench investors carried out only two M&A deals during the period,they topped the table in terms of value, with 1.3 billion USD ininvestments. The biggest M&A deal took place in February whenConocoPhillips, the third largest US oil company, sold its assets inVietnam to French partner Perenco.-VNA

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