JavaScript is off. Please enable to view full site.

Thai conglomerate acquires Vietnam’s Bien Hoa Packaging

Thai conglomerate acquires Vietnam’s Bien Hoa Packaging

Tuesday, December 15, 2020, 15:14 GMT+7
Thai conglomerate acquires Vietnam’s Bien Hoa Packaging
This undated supplied photo is pictured inside a factory of Bien Hoa Packaging in Vietnam.

TCG Solutions Pte, a subsidiary of Thailand's conglomerate Siam Cement Group (SCG), has announced its plan to purchase over 12 million shares, or a 94.11 percent stake, of Bien Hoa Packaging (Sovi).

The transaction is set to take place from December 16 to 31.

Given the current market price of VND81,500 (US$3.5) per Sovi share, TCG is expected to spend more than VND978 billion (US$42.23 million) on the deal.

Earlier, Sovi paved the way for the acqusition by raising its foreign ownership limit to 100 percent in July.

In addition, Sovi’s Vietnamese members of board of directors and controllers resigned and were replaced with Thai personnel from TCG during the extraordinary general meeting on December 9.

Among the new personnel, Ekarach Sinnarong, chief executive officer (CEO) of a member company of SCG in Vietnam, was appointed as CEO and legal representative of the company for 2020-23 and TCG Solutions director Suchai Korprasertsri as new Sovi chairman.

SCG is one of Southeast Asia’s top conglomerates in the fields of cement, construction materials, chemicals, solar roofs, investment, logistics, and packaging.

In Vietnam, SCG was involved in dozens of mergers and acquisitions (M&A) deals over the last 30 years with the acquisition or stake purchase at Prime Group, Tin Thanh Packaging, Binh Minh Plastic, and Long Son Petrochemicals Complex.

Bien Hoa Packaging, founded in 1968, is specialized in manufacturing carton and offset packaging.

Its customers include such big names as Unilever, Pepsi, Coca-Cola, Nestlé, and LG.

By the middle of 2020, Sovi had amassed total assets of more than VND1 trillion ($43.12 million) and an equity of over VND518 billion ($22.34 million), up 11 percent and 12 percent, respectively, compared to the beginning of the year.

In the first six months of the year, the company earned more than VND62 billion ($2.7 million) in profit after tax, an increase of 26 percent over the same period last year.

Like us on Facebook or follow us on Twitter to get the latest news about Vietnam!

Tuoi Tre News

More

Read more

Have you ever tasted Vietnamese coconut nectar?

Once used as a kind of natural sugar by the ethnic community of Khmer in the Mekong Delta province of Tra Vinh, coconut nectar did not become a commodity because of limited demand

2 days ago
;

Photos

VIDEOS

Vietnamese woman gives unconditional love to hundreds of adopted children

Despite her own immense hardship, she has taken in and cared for hundreds of orphans over the past three decades.

Vietnam’s Mekong Delta celebrates spring with ‘hat boi’ performances

The art form is so popular that it attracts people from all ages in the Mekong Delta

Vietnamese youngster travels back in time with clay miniatures

Each work is a scene caught by Dung and kept in his memories through his journeys across Vietnam

Latest news