Vingroup Joint Stock Company (“Vingroup”), is pleased to announce that the sale of Vincom Center A Ho Chi Minh City (the “Asset”) has been completed for a total cash consideration of VND9,823 billion (US$470 million).
The Asset is transferred to Vietnam Infrastructure and Property Development Group Corporation (“VIPD”). The transaction has been closed with the agreement and handover being completed.
The Group had earlier entered into a Capital Transfer Agreement (the "Transfer Agreement") with VIPD on 28 February 2013 to sell to VIPD its entire interest in Future Investment and Trading Services One Member LLC (“Future Investment), which is a subsidiary of Vingroup and owns the land use right and all the property including the shopping mall, services, hotel and underground parking at Vincom Center A Ho Chi Minh City, located at 53 Le Thanh Ton, 171 Dong Khoi, 6A Le Loi, 116 Nguyen Hue, Ben Nghe Ward, District 1, Ho Chi Minh City. Future Invest’s charter capital was 4,050 prior to the transfer.
The Asset, situated at one of the most attractive locations in Ho Chi Minh City, is the most luxurious property in the city. It comprises 6 underground floors and 9 aboveground floors, in which 3 basements are for parking, 3 remaining basements and 4 aboveground floors are for a high-end retail mall; a five-star hotel covers from the fifth floor upwards. The high-end retail mall was inaugurated on October 10th 2012, housing a number of leading luxury brand names such as Hermes, Dior, Zegna, Ralph Lauren and Hugo Boss, and has become an ideal destination for shopping, entertainment and relaxation.
VIPD is an investment holding company that is involved in a diversified range of businesses including real estate development and investment. VIPD currently owns 1.1 million sqm of landbank in prime locations across Vietnam including Ho Chi Minh City, and is currently in the process of developing these sites into commercial, residential and tourism properties.
Credit Suisse acted as sole advisor to the Group on the sale of this prime asset.