Sign up | Log in



Home  >>   Daily News  >>Vietnam>>Property>>Property sector to see many mergers, acquisitions
NEWS UPDATES Asean Affairs     May 30, 2017  

Property sector to see many mergers, acquisitions

The real estate market is busy with mergers and acquisitions (M&A), which are forecast to touch a record high this year, driven by the sector’s steady recovery.

M&A have become popular among developers who have the financial capacity as it is a quick way to acquire clean land funds for property development and catch the opportunities on time in a fast-recovering market.

Fresh capital inflows from M&A have helped revive a number of long-delayed projects, reducing inventories and bad debts in the sector, said property expert Dang Hung Vo.

One of the major M&A deals this year was developer Quoc Cuong Gia Lai selling the Phuoc Kien project in HCM City’s Nha Be District to Sunny Island Investment for an undisclosed amount. However, Quoc Cuong Gia Lai is known to have received US$50 million, which went into paying off a VND1.35 trillion ($59 million) debt to the Bank for Investment and Development of Viet Nam (BIDV).

Recently, Phat Dat Real Estate Development Corporation announced that it has found a partner to transfer a part of EverRich 3 project in HCM City, into which the developer had poured in VND1.58 trillion in 2016 and planned to spend another VND642 billion in 2017. Phat Dat is expected to sell off the entire project for VND2.5 to VND3 trillion, which will be used to repay debts.

In March, An Gia Real Estate Development and Investment Company saw investment from Japan’s Creed Group and acquired seven blocks of the Lacasa project in HCM City’s District No 7 from Van Phat Hung. Previously, An Gia had bought several stagnant projects; it expects more M&A deals in the future.

M&A has become a strategy for real estate companies such as Hưng Thịnh Real Estate, which has acquired some 20 long-delayed projects. It has resumed construction in 10 of these projects and sales have begun, such as Moonlight Park View, Tan Huong Tower, Sky Centre and Mekody Residences.

Other realty firms such as Novaland, Greenland, Thu Duc House have also hopped onto the M&A bandwagon.

Le Hoang Chau, president of HCM City Real Estate Association, said M&A deals have become the buzz word in the property sector during the past two years as investors see significant opportunities in the recovering market. It is also the fastest way to acquire clean land with the legal work done, as available land dries up in major cities such as Ha Noi, HCM City and Da Nang.

According to Chau, there is scope for more M&A deals in the southern city, which has around 500 delayed projects. Investors are cooperating with each other and seeking partners with funds to implement projects as credit policies for property development get tougher.

There is a growing interest in the Vietnamese property market among foreign investors from Hong Kong, Korea and Singapore, JLL Viet Nam said. Stephen Wyatt, general director of JLL Viet Nam, was quoted by as saying that several foreign investment funds are looking to expand their presence in Viet Nam through M&A deals.

Previously, Wyatt had forecast a record year for M&A deals in the real estate sector, driven by an improved economy.

Property services firm Savills Viet Nam also expects a rise in property M&A deals this year.

Nguyen Van Dong, M&A consultancy director of Rong Viet Securities Company, has also said that M&A deals in the realty market would dominate this year, in an interview with Dau Tư Chứng Khoan (Securities Investment).

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below

Today's  Stories                          May 30, 2017 Subsribe Now !
• Government opens bidding for construction of three dams Subcribe: Asean Affairs Global Magazine
• West Ha Noi property market booms
• New Central Area cycling network in the pipeline
Research Reports
on Thailand 2007-2008

• Textiles and Garments Industry
• Coffee industry
• Leather and footwear industry
• Shrimp industry

• Government to finish five irrigation dams in 2017
• Property sector to see many mergers, acquisitions 
Asean Analysis                  May 19,  2017
• Asean Analysis May 19, 2017
Economic Recommendations for the New Administration
Advertise Your Brand

Asean Stock Watch  May 29, 2017

• Asean Stock Watch-May 29, 2017
The Biweekly Update
• The Biweekly Update  May 12, 2017

ASEAN NEWS UPDATES      Updated: 04 January 2011

 • Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent
• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore • Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline • Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More






1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

| Terms of Use | Site Map | Privacy Policy  | DISCLAIMER |

Version 5.0
Copyright © 2006-2019 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand