Vietnamese bank affiliate pours over $30.4mn into ride-hailing app Be
Wednesday, January 10, 2024, 15:48 GMT+7
Be Group, a ride-hailing service supplier in Vietnam, has received a new capital injection of over VND739.5 billion (US$30.4 million), Nguyen Viet Linh, marketing director at the firm, said on Wednesday.
The investment was made by VPBank Securities JSC, a member of VPBank, said Linh.
VPBank Securities will acquire a stake in Be Holdings, the owner of Be Group, with a total transaction value of more than $30.4 million.
The capital will help strengthen the ride-hailing operator’s financial health to serve an estimated 20 million users.
VPBank Securities is the first institutional investor to join Be Group’s owner.
In 2022, Be Group received a $100-million loan from Deutsche Bank, a prestigious global and leading financial institution from Germany.
Vietnam is home to several tech-based service suppliers such as Be, Grab, and Gojek, all of which began their operations by offering ride-hailing services but have since expanded their reach to food and goods delivery, vehicle leasing, and air ticket and hotel room bookings.
The country is currently witnessing fierce competition between the three transport service and food delivery firms.
In 2023, GSM Green and Smart Mobility JSC, owned by Vietnam's richest man Pham Nhat Vuong, jumped on the ride-hailing bandwagon to supply electric car and scooter transport services in the local market.
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