VietNamNet Bridge - Buying into Vietnamese corporations is a way some foreign investors join Vietnam’s industries. The corporations they target are mostly leaders in their fields.

Nearly 5,000 deals involving foreigners buying into Vietnamese businesses have been reported so far this year, an increase of 50 percent compared with 2017.

More foreign invested real estate projects have been registered recently, while more M&A deals in the sector have also been reported.

Foreign investors, encouraged by new laws and information that Vietnam is among 21 IMS Health-ranked markets with the fastest growth rate, have completed M&A deals to save time for procedures and starting production lines.

VietNamNet Bridge - Experts earlier this year all predicted that there would be a high number of M&A deals in the banking sector this year. However, this has not occurred.

VietNamNet Bridge - Many banks have succeeded in scaling up their operation through M&As, but others have taken on new burdens.

VietNamNet Bridge - While more and more foreign giants are coming to Vietnam, domestic plastics companies are still fumbling for a way to control supply sources.

 Foreign capital flow into the real estate market has accelerated M&A deals, but analysts warn that bad debts for property loans are a hindrance in the M&A market.

The total value of M&A deals made in 2017 was 8.4 billion, according to IMMA (Institute of Mergers, Acquisitions, and Alliances). The sharp 45 percent increase in M&A value in comparison with 2016 shows strong interest from investors.

Foreign investors are rushing to pour money into Vietnam’s banks which see a brighter future as the warming of the real estate market will help them collect debts from mortgaged loans.

VietNamNet Bridge - Asian real estate developers have increased their presence in Vietnam, while European and American investors have remained indifferent to the market.

VietNamNet Bridge - The total value of M&A deals reached $6 billion in 2017, a surprisingly high figure. 

VietNamNet Bridge - The strong capital flow from Asian investors has helped warm up the real estate market and revive projects which have been left idle for many years.

VietNamNet Bridge - Many records related to capital transfer affairs were broken in 2017. 

The biggest M&A deals were in a variety of business fields, especially the real estate and banking sectors.

VietNamNet Bridge - The M&A deals made in 2017 are expected to have the value of $2 billion, and the same value or higher has been predicted for 2018.

Large companies considered leaders in their fields are being sought after by buyers, mostly from Asia.

VietNamNet Bridge - Foreign investors were once the buyers in M&A deals five years ago, but in many deals made recently, the buyers have been Vietnamese.

The Ministry of Finance (MOF) has proposed adjusting the rate of the capital assignment profit tax imposed on foreign enterprises in Vietnam in an effort to simplify the process of collection and treatment of corporate income taxes. 

After concluding successful transactions, large conglomerates now have trillions of dong in their coffers. And they have to think about how to use the money.