FPT transferred 30% of its ownership in FRT to Dragon Capital and VinaCapital

Hanoi, August 11^th 2017 – Today, FPT has completed transferring 30% of FPT Digital Retail JSC (FPT Retail)’s charter capital, which is equivalent to 6,000,000 shares, to funds managed under and associated with Dragon Capital and VinaCapital.

FPT Retail is currently the second largest retailers in Vietnam. Until July 2017, FPT Retail is operating 438 stores nationwide. With revenue of 15,717 USD per square meter, FPT Retail is the most effective retailer, according to Euromonitor and Retail Asia Publishing.

Dragon Capital and VinaCapital are the largest foreign financial investors in Vietnam, having USD 2.1 billion and USD 1.8 billion of assets under management, respectively.

In 2017, FPT Retail set target of achieving a 27.5% and 40% growth in terms of revenue and profit before tax, respectively, from both same store sale growth and from new stores opening in such areas where smartphone penetration is low. E-commerce and omni-channel approach will also be used in delivering the business targets.

In the first six months of 2017, FPT Retail has delivered revenue of VND 6,193 billion, up 31% year over year, and profit before tax of VND 141 billion, up 44% year over year.

Compounded annual growth rates (CAGR) of revenue and profit before tax, respectively, of FPT Retail is expected to be over 25% and 35% per annum during the 2016 – 2019 period.

Mr. Andy Ho, Chief Investment Officer of VinaCapital and Managing Director of VOF, said “The consumer sector is one our favourites, and Vietnamese people have shown a huge appetite for mobile phones and accessories, which is their primary tool to communicate and access the internet. This transaction enables us to make a meaningful investment in a premier, unlisted company”.

“Vietnam’s consumer market with a population of nearly 100 million people and annual retail revenue of USD 110 billion is among the most lucrative retail markets in the world. In which, the retail of mobile phones and technology gadgets has delivered impressive growth recently. FPT Retail, joining the market for not too long, has demonstrated itself as a leading retailer. We highly valued the professionalism of the management at FPT Retail, as well as FPT Corporation’s corporate governance and operation, which serve as a robust foundation for FPT Retail’s future success in Vietnam’s retail market”.

More information on Dragon Capital and VinaCapital

Dragon Capital had USD 2.1 billion of assets under management, which targets listed, to-be-listed, equitization/IPO enterprises, especially those that are active, professional and innovative in managing their business, which are operating in growing sectors. Dragon Capital assists Vietnamese enterprises in continuously improving their business administration and corporate governance, in order to add value to employees, investors and to the public.

VinaCapital had USD 1.8 billon of asset under management, which focuses on investing in companies that are serving Vietnamese consumers, using Vietnamese human resources, and founded by Vietnamese.