Masan to hold 70% stake at retail giant merged with Vingroup’s retail arm

The remaining 30% stake of the newly-merged retailer belongs to Vingroup and other investors including Singapore government investment fund, Masan leaders told stock analysts during a conference call on weekend.

In December, Vingroup (HoSE: VIC) and Masan Group (HoSE: MSN) attracted attention from business community when deciding to merge VinCommerce, VinEco with Masan Consumer Holdings to establish Vietnam's leading retail group.

Therefore, Masan received 83.74% share at VCM Trading and Services Development JSC, which owns both VinCommerce and VinEco.

As of end-2019, VinCommerce operated 3,022 stores, including 134 Vinmart supermarkets and 2,888 Vinmart + stores. The retailer’s 2019 revenue jumped 67% against 2018, thanks to 20% growth at Vinmart and Vinmart +.

Masan expects VinCommerce’s 2020 revenue at VND42 trillion ($1.78 billion) thanks to 24-25% growth of Vinmart and Vinmart +.

The Vietnamese conglomerate aims to increase the contribution of fresh products in VinCommerce while Masan’s branded meat is expected to play a key role in this development strategy.

Masan, which is selecting suitable Vinmart + locations to sell Meat Deli, expects revenue from fresh product accounting for 35% in Vinmart + system by the end of 2020.  

► Masan Group to hold almost 84% stake at VinCommerce's parent company

► Vingroup quits retailing to focus on tech, industrial sectors