Masan fails to buy out Vinacafe

Conglomerate Masan has not been able to buy out instant coffee producer Vinacafe Bien Hoa JSC due to unfavorable market conditions. Its subsidiary Masan Beverage Company Limited could only purchase a 0.3 percent stake in the coffee producer via order matching between June 17 and July 16, against a plan to purchase 1.51 percent to fully own the company.

Masan Beverage owns 98.79 percent of Vinacafe, in which it has been buying stakes since 2011.The most recent transaction occurred in February 2018 when it bought nearly eight million shares for VND1.6 trillion ($69 million) to increase its holding to 98.49 percent. Ticker VCF of Vinacafe on Friday closed at VND208,000 ($9), up 16.8 percent from the start of the year.

The company, established in 1968 and among the most popular instant coffee brands in Vietnam, targets net revenues and net profits this year of VND3.3 trillion ($142 million) and VND780 billion ($33 million), respectively.