Foreign Funds to Boost Investment in Vietnam Property, Potential Firms

Foreign investment funds say that this is the right time to pour more capital into Vietnam, with more focus on the property sector and enterprises with potential for development.

 

Saigon Asset Management Co. (SAM) has revealed a plan to set up two new funds with capital of VND50 million each by the end of this year or early next year to invest in equities and real estate.

 

SAM, currently managing Vietnam Equity Holding (VEH) and Vietnam Property Holding (VPH), is listed on Frankfurt Stock Exchange in Germany and expects to raise capital from institutional investors coming from Europe, the U.S., the Middle East and Asia.

 

VinaCapital will also establish a US$350 million realty fund, VinaLand II, by the end of September.

 

“Vinacapital will not invest in export-driven enterprises out of high risks. We will seek companies specializing in consumer goods production with high growth potential,” said General Director Don Lam of VinaCapital, which has invested US$1.6 billion in local private firms.

 

Seaf Blue Waters Growth Fund (SEAF BWGF), meanwhile, now has US$25 million in capital and has pledged to raise more funds to put into Vietnam’s small and mid-sized businesses.

 

Le Anh Tuan director of Dragon Capital Fund Management Co. said that foreign indirect capital will rise in Vietnam in the remaining months of this year. (Investment)