Vietnam's government is moving forward with a long-gestating plan to sell off part of its majority stake in the country's largest brewery.
Reuters reports that Saigon Beer Alcohol Beverage Corporation, known as Sabeco, attracted plenty of attention at a recent investors' roadshow in Singapore. The brewer of such commonly consumed beers as 333 and Bia Saigon is estimated to be worth US$9 billion. The Vietnamese government currently owns a 90% stake in it. The planned stake sale will create much-needed state revenue.
Vo Thanh Ha, Sabeco's chairman, told the news source over this past weekend that a detailed plan for the divestment will be released soon. Vietnam is the biggest consumer of beer per capita in Asia, meaning investors are salivating at the chance to gain a large stake in this lucrative market.
Sabeco's main products. Photo via Brands Vietnam.
"We've received very good feedback from investors that they consider Sabeco as an extremely good company with high potential to grow," Ha shared with Reuters through an interpreter.
Heineken already owns 5% of Sabeco and has expressed interest in expanding this share, while Japanese brewers Kirin and Asahi are also expected to make a move once the size and price of the divestment is revealed.
Sabeco will now hold investor visits in London and Saigon, with a stake sale potentially taking place in December.
This morning, the government finally revealed more specifics related to the sale, VnExpress reports. Accordingly, Vietnam is willing to sell 54% of its stake in Sabeco, though foreign ownership will be capped at around 39%.
The price per share has been set at VND320,000 (US$14).
[Photo via The News Lens]
