E-Malt.com News article: Vietnam: Carlsberg wants additional Habeco stakes

Carlsberg, the foreign strategic partner of Habeco (Hanoi Brewery Corporation), holds nearly 16% of stakes in Habeco. It is seeking to buy more stakes of Habeco, but Habeco says it is not the right time for it to consider the deal, TBKTVN reported June 12.

16% of Habeco's stakes are being held by the foreign strategic partner Carlsberg
Habeco will begin operating as a joint stock corporation as of July 1, 2008 with the chartered capital of VND2,318bil. Nearly 82% of Habeco’s stakes are still being held by the state, while nearly 16% are being held by the foreign strategic partner Carlsberg.

Nguyen Van Viet, General Director of Habeco, said that Carlsberg was chosen as the strategic partner of Habeco because it is a well-known brand name in the European market which can help Habeco develop products and export markets.

Unlike other companies in Vietnam, Habeco chose its strategic partner first, and then it made IPO.

Viet said that Habeco plans to raise its chartered capital to VND3-3,500bil by 2010 by selling stakes to outside shareholders.

Habeco made its IPO this year, a difficult year for the stock market. Moreover, the difficulties of the national economy have led to the purchasing power decrease, thus badly influencing the company’s business results.

Habeco plans to get the turnover of VND1,653bil in the remaining seven months of 2008, double that of the first five months. While a lot of people think the targeted turnover will be a challenge, Viet said that the goal must be achieved.

Viet said that by 2010, the state will only hold 51% of the company’s stakes. Meanwhile, Carlsberg has expressed its desire to purchase more stakes of the company. Viet said that the company has not thought of selling more stakes to Carlsberg, and that the company will consider the situation more thoroughly before deciding what to do.

Henrik Andersen, General Director of Carlsberg in Vietnam, has confirmed Carlsberg’s desire to buy more shares of Habeco.

When asked why Carlsberg wants to purchase more stakes of Habeco instead of investing in other businesses in Vietnam, Mr Andersen said that Habeco is now a well-known brand name which holds a large market share. Both Habeco and Carlsberg target the north and central regions as their key markets.

Carlsberg and Habeco began their cooperation in 2005, and the three years of good cooperation herald better cooperation in the future. Carsberg can see the good potentials of the brewery market in Vietnam. Though the country is experiencing difficulties, Carlsberg still believes that the economy will grow well in the long term, and it will benefit from the growth.

Regarding the prices of Habeco stakes, Mr Andersen said that the VND50,000/share level proves to be fair for both seller and buyer. The price level also proves to be reasonable if compared to the prices at which Carlsberg purchases stakes of other companies in Southeast Asia.


13 June, 2008