Masan injects $215.7 mln into VinMart controlling unit
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Conglomerate Masan Group will invest VND5 trillion ($215.7 million) in the subsidiary that controls its VinMart retail chain to help expand it.
The investment would quadruple the charter capital of The Sherpa to VND6.5 trillion, it said in a statement.
Through the company, Masan indirectly owns 71 percent of VinCommerce, which operates VinMart+ convenience stores and VinMart supermarkets.
Masan acquired VinCommerce from Vietnam’s largest private company, Vingroup, in January this year.
Masan earlier announced it plans to have over 300 VinMart supermarkets and nearly 10,000 VinMart+ convenience stores by 2025, up from 122 and 2,524 at the end of September.
Masan closed 433 VinMart and VinMart+ stores in the first nine months of this year to cut losses and forecast VinCommerce to break even this quarter.
Questions & Answers
Q.What is the primary purpose of Masan Group's investment in The Sherpa?
What is the primary purpose of Masan Group's investment in The Sherpa?
The conglomerate Masan Group is investing in The Sherpa to help expand its VinMart retail chain. This investment will increase The Sherpa's charter capital significantly to facilitate this growth.
Q.What is Masan's ownership stake in VinCommerce after this investment?
What is Masan's ownership stake in VinCommerce after this investment?
Through The Sherpa, Masan indirectly owns 71 percent of VinCommerce. The investment into The Sherpa will quadruple its charter capital, but the article does not state a change in ownership percentage.
Q.What are Masan's growth targets for its VinMart and VinMart+ stores by 2025?
What are Masan's growth targets for its VinMart and VinMart+ stores by 2025?
Masan aims to operate over 300 VinMart supermarkets and nearly 10,000 VinMart+ convenience stores by 2025. This is a significant increase from their numbers at the end of September.
Q.Why did Masan close a number of VinMart and VinMart+ stores earlier this year?
Why did Masan close a number of VinMart and VinMart+ stores earlier this year?
Masan closed 433 VinMart and VinMart+ stores in the first nine months of this year. This action was taken to cut losses and help VinCommerce achieve its forecast of breaking even this quarter.
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