US investment fund to secure shares in Vietnamese property developer within 30 months.
The US investment fund Global Emerging Markets (GEM) and the Hoang Quan Group have recently entered into an agreement in which the US fund will invest $20 million in the Vietnamese partner through the purchase of shares within 30 months of the signing of the agreement, on July 1.
According to GEM President and CEO Christopher F. Brown, the investment fund has been interested in Hoang Quan’s real estate investment performance for a long time, especially as the developer is one of the pioneers in developing large-scale social housing projects in the south of Vietnam. “GEM believes that the social housing segment will see further development in the future due to Vietnam’s social security policies,” he told the signing ceremony.
“The investment is a major milestone for us in particular and for the stock market in general in attracting foreign investment,” said Mr. Truong Anh Tuan, Chairman and CEO of Hoang Quan. “We will use the funding to develop our social housing projects.”
GEM is the third foreign partner investing in Hoang Quan, following South Korea’s LG Vietnam and Hyundai Elevator.
With assets under management of some $3.4 billion, GEM has also invested in other Vietnamese property developers such as Hoang Anh Gia Lai and Duc Long Gia Lai.