A consortium led by KKR has invested $650 million in Vietnam property firm Vinhomes VHM.HM, Vinhomes’ parent Vingroup VIC.HM said on Tuesday.
The consortium, which includes Singapore state investor Temasek Holdings, has paid the sum for a 6% stake in Vinhomes, Vingroup said in a statement.
Vingroup, Vietnam’s largest conglomerate, will remain the controlling shareholder in Vinhomes, a leading integrated real estate developer in the Southeast Asian country, it said.
Credit Suisse (Singapore) Limited acted as sole financial advisor to Vingroup, it added.
Vinhomes shares closed up 7% on Tuesday to 74,900 dong after the announcement, giving the company a market capitalisation at $9.92 billion.
Sources familiar with the matter said Vingroup had received strong interest from Asian conglomerates and global funds for a partnership and the sell-down provided an opportunity for Vingroup to raise funds as it revamps its sprawling business divisions.
This is one of the first direct investments by Temasek in Vietnam in recent years, the sources said.
Source: Reuters.com