Recently, Vietnam has frequently appeared in front of people, brushing off the sense of existence. The value-added space behind it began to be known by the public except Li Ka Shing. Under the slowing epidemic situation, benefiting from the loose monetary policy and relying on the demographic dividend and location advantages, Vietnam's economy is developing faster than expected and is regarded as an excellent student**
Looking at some data, in the first quarter of this year, Vietnam's GDP increased by 5.03% year-on-year, and it is expected that this year's economic growth will reach 6.5%; In 2021, the total trade volume exceeded US $600 billion, reaching an all-time high.
With this momentum, Vietnam's stock market has also been bullish, and the Ho Chi Minh index has frequently hit record highs**
However, it is worth noting that recently, a local electric vehicle leader began to impact the listing of US stocks.
Public information shows that vinfast, a leading Vietnamese electric vehicle enterprise, has secretly submitted a listing application to the US SEC. It is expected that the IPO will be conducted after the SEC completes the review procedures The market expects its valuation to be $60 billion (now about 390 billion yuan)
Vinfast has a long history. After all, companies that dare to challenge Tesla are still very attractive, backed by pan riwang, Vietnam's richest man .
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Build cars by getting rich in real estate
Vinfast was founded in 2017 and belongs to the parent company vingroup group group. The founder of the group is Pham Nhat Vuong.
When it comes to pan riwang, his entrepreneurial history is also worth exploring. He is a person who is good at seizing opportunities and is sensitive to business opportunities. He once opened a restaurant in Ukraine. The first pot of gold came from his fast food brand Divina. Later, pan riwang focused on the real estate business. Although Vietnam's real estate market fluctuated greatly, there are gold mines to be tapped (in 2021, Vietnam's house prices rose by an average of 5% to 10%, and the house prices in the capital Hanoi reached a five-year high), He set a good time and started with the vinpearl resort in Nha Trang, slowly developing high-end villas, business centers, high-end apartments, and even expanding to the development and operation of theme parks, catering and entertainment, < a data link = "1" href = "" target = "_blank" > Education and health care services, it, etc.
Vingroup group group was listed on the Ho Chi Minh stock exchange in 2007, creating a high light moment. By this, pan riwang became the richest man in Vietnam and the first Vietnamese billionaire on the Forbes rich list . Public data show that the 53 year old pan riwang has a fortune of US $7.6 billion. The industry jokingly calls him "Vietnam Li Ka Shing".
These days, cross-border car making is a hot word, especially the real estate business leaders are eyeing this blue ocean.
Pan riwang is no exception. In fact, the foundation of Vietnam's auto industry is very weak, most auto parts depend on imports, and the localization rate is low , but this can not stop the Vietnamese people's determination to own a car made in Vietnam!
Bearing some expectations, pan riwang established vinfast. From the beginning, he wanted to take the road of globalization. He not only built factories and set up company branches in many places around the world, but also cooperated with BMW, Siemens and other auto enterprises to achieve a lot of cooperation and increase his own brand penetration.
Vinfast's first car models (Lux a2.0 and lux sa2.0) have been assisted by major automobile manufacturers in Europe and America. The core of its power system is BMW N20 turbocharged engine, which was discontinued in 2017. It is the first batch of independent brand cars in Vietnam.
At the same time, vinfast also sells two wheeled vehicles. In 2018, it released Klara electric vehicle, which is very popular in Vietnam.
Due to Vietnam's strong support for the development of the electric vehicle industry and car purchase subsidies for consumers, vinfast's sales are good. According to public data, vinfast ranked fifth in Vietnam's auto sales in 2020, second only to Hyundai, Toyota, Kia and Honda.
As the manufacturing base was slowly built, vinfast began to accelerate its development, from stopping the development of fuel models to the research and development of VF series electric vehicles.
In December 2021, vinfast's first electric vehicle VF E34 went offline , which is the first domestic new energy vehicle in Vietnam, and then extended a series of models VF 5, VF 6, VF 7, VF 8 and VF 9. In February this year, the delivery ceremony of this model was held in Vietnam, and the first batch of 2000 new cars were delivered to users.
The VF E34 is equipped with a battery with a capacity of 42kwh, with a maximum power of 110KW, a maximum torque of 242nm and a range of 300km. This model is equipped with a voice controlled virtual assistant developed by vinbigdata, a subsidiary of vingroup. Users can make reservations for registration and air tickets through the software set on the car, and the reservation volume has exceeded 25000.
According to public information, vinfast is expected to deliver two new large-scale electric SUVs, vf8 and vf9, this year. It wants to benchmark Tesla's model x, but the price is much cheaper. The price of vf8 is 41000 US dollars (about 270000 yuan), and the price of vf9 is 56000 US dollars (about 370000 yuan). There are more than 45000 reservation orders.
When vinfast aims at pure electric vehicles, the company also welcomes a new CEO Le thi Thu Thuy, further accelerating the process of globalization.
Vinfast plans to build its first U.S. plant in North Carolina to speed up the output of production capacity. The plant is planned to have an annual production capacity of 150000 vehicles, which is expected to be completed before July 2024. It will also build a new electric vehicle plant in Germany, and its annual production capacity is expected to reach 950000 vehicles by 2026.
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Losses under the leap forward
Now, looking back on the development path of vinfast, I have to say that pan riwang's measures are more radical, but they are indeed effective.
In just four or five years, it has not only become the light of Vietnam's national automobile brand, but also stepped on the world stage to compete with Tesla and other powerful rivals.
However, with the rapid development of vinfast, we still can't ignore the performance of performance.
After all, companies that only paint cakes without actual performance cannot really land safely**
As the sales volume of fuel vehicles did not meet expectations, vinfast's automobile business is still in the mire of loss, which also dragged down the group's performance.
According to the financial report of vinfast's parent company vingroup group group, its after tax loss exceeded vnd 7.5 trillion (about USD 326 million) in 2021.
Obviously, this is an unavoidable pain point for companies entering the new energy track. No matter how legendary the real estate myth behind vinfast is, it still has to be in line with international standards and expand overseas. In the final analysis, if you want to fight the tram war well, Vietnam's capital market is still relatively limited, and vinfast needs to come out and further get the halo comparable to Tesla and sufficient funds to realize the dream of building cars.
However, at present, the timing of its choice to sprint US stocks is also more subtle. After all, under the layers of uncertainty shown in the macro environment, compared with last year's boom, the atmosphere of foreign IPO is also relatively cold. According to the CEO of NASDAQ OMX exchange, there were 70 IPOs in the first quarter of this year, which was significantly slower than that in 2021**
At present, there are still few Vietnamese companies listed in the United States. The Vietnamese technology company society pass, which landed on NASDAQ in November last year, is the first. At present, the share price has been declining, reaching a high of $77.34, and now it has fallen to $2.09, with a total market value of only $49 million.
The market atmosphere is one thing. If investors can't be given certain expectations, even if the valuation is higher, it will fall down. For example, rivian, which went public last November, set the largest IPO record for US stocks since 2014. On the first day of listing, the share price of this upstart electric vehicle soared, and its market value once exceeded the mark of $100 billion, making all the eyeballs. However, after that, the share price also went down all the way, with the latest total market value of $30.549 billion.
In the first quarter of this year, rivian produced 2553 vehicles and delivered 1227 vehicles. However, due to the uncertainty of the macro environment, the epidemic situation, geographical conflicts and other environments disturbing the supply chain, the prominent problem of chip shortage and the high cost pressure, rivian had to reduce its production target (25000 electric vehicles will be produced in 2022). Generally speaking, these uncontrolled factors are challenges for all electric vehicle enterprises.
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Conclusion
A country with strong vitality has also brought greater imagination space for the development of enterprises.
With the advancement of market-oriented reform process, Vietnam's macro environment is relatively loose and the stock market performance is also good. Many enterprises have come out. The rise of vinfast is inseparable from the accumulation in Vietnam in the early stage. However, at present, it wants to embark on a broader world stage, and it is not easy to reproduce the highlight by building cars. After all, the battle around new energy vehicles has always been cruel.