Initial public offerings or IPOs are known as a great way for investors to make a big profit in a relatively short time. On average, they can bring investors 40% returns in the first 3 months. Once the initial funding stages are out of the way, IPOs can be a great way for companies to gain exposure to the open market, help the company grow by attracting more capital and improve liquidity. If you’ve heard about the new Vietnamese electric vehicle company, you may have wondered, “is VinFast publicly traded?” This interesting and unique investment opportunity is about to become available to investors. Read on to find out about VinFast stock IPO and all the important information about VinFast IPO 2022.
VinFast History
VinFast is a vehicle manufacturing company with headquarters in Haiphong. It is the first homegrown Vietnamese car maker with definitive plans to expand into the US and global markets. It is also the first to start producing electric vehicles.
VinFast is part of the largest Vietnamese conglomerate Vingroup that operates tech, real estate, retail and other businesses. The company was established in 2017, when Vingroup founder and chairman Phạm Nhật Vượng expressed his ambition to start making and selling cars. Vượng, who owns 30% of Vingroup, is an entrepreneur, property developer and first Vietnamese billionaire who made his first fortune in Ukraine.
In the 90s, his company Technocom became a market leader in dehydrated food products (aka instant noodles), which he sold to Nestle for $150 million in 2009. By 2015 Vượng was listed as the richest person in Vietnam with assets over $1 billion. As of April 2021, his net worth was around $9 billion, according to Forbes.
The company initially made gasoline cars in partnership with BMW and presented their first two models at the 2018 Paris Motor Show — the LUX A2.0 based on BMW Series 5 and LUX SA2.0 based on BMW X5, both designed by Italian company Pininfarina of Ferrari and Alfa Romeo fame.
In 2018, General Motors announced a partnership between VinFast and Chevrolet to produce GM-licensed cars under the VinFast name. In the same year, VinFast signed contracts with Siemens Vietnam to manufacture electric buses in the Southeast Asian region.
In January 2022, VinFast announced it will stop producing internal combustion engines by the end of the year and focus its efforts on R&D for electric vehicles. Around this time reports appeared that VinFast is planning to build EV plants in the US and Germany.
In March, VinFast announced a preliminary deal to invest $2 billion in a factory in North Carolina that will make electric buses, SUVs and batteries for electric vehicles. Joe Biden tweeted about VinFast’s plans saying the factory will create more than 7 thousand jobs.
In April 2022, VinFast publicly announced it’s made a confidential filing to start the IPO process on the US stock exchange.
Read on to find out about VinFast IPO date and price and other key info.
VinFast Public Listing Key Data and IPO Date
VinFast IPO Date: 2022
Ticker: N/A
Exchange: N/A
IPO stock price: N/A
Valuation at IPO: $25-60 (estimated)
Market cap: N/A
CEO: Thuy Le
Category: Electric Vehicle Stocks
Listing method: N/A
Keeping in mind the company’s promising plans for global expansion and partnerships with important Western automotive players, it’s not surprising people started asking “when is VinFast going public?” as early as 2020. According to unnamed sources, as quoted by Reuters in April 2021, VinFast was looking for funding via a special purpose acquisition company (SPAC), an alternative to traditional IPO. This was neither confirmed nor denied by VinFast, so we don’t yet know which approach the company will take.
VinFast is doing everything to move ahead with the launch and its other plans, but their IPO date and stock price remains uncertain.
It’s also unclear whether the company will launch its IPO on the NYSE or Nasdaq and the future stock symbol, as much of the information about the filing remains confidential.
The company management is looking to raise $2-3 billion in the IPO and is hoping for a valuation of $60 billion. Some analysts give a more modest estimate of $25 billion.
So What About Investing Now?
It’s too early to say if VinFast IPO is a good investment as the IPO date remains open. So far the company has been making good moves and is already a notable regional player on the market. It’s unclear whether it can really compete with Tesla, GM and Ford, a lot depends on whether they can create a strong brand and place on the market.
However, VinFast has bold plans, including switching to only producing EVs, which may help them find their niche.
Since VinFast hasn’t disclosed its IPO date, we can’t be sure the launch will happen in 2022 at all, considering what’s happening with the economy and in the world in general. But it’s reasonable to expect it will happen towards the second half of the year, and that’s when we’ll learn the VinFast IPO price. The good thing about this is we have time to get prepared and keep an eye on how successfully the company is moving ahead with its plans for global expansion into the US and Europe.
Check out our IPO section to look at other scheduled IPOs. If you want to find companies that match your interests, investment goals and portfolio, try Gainy for some great IPO investment ideas, as well as established blue-chip companies and a variety of other assets.
FAQ
When is the VinFast IPO date?
The VinFast stock IPO date has not been announced yet, but investors interested in buying the company’s shares should keep an eye on the news as the date can be announced anytime before the end of 2022.
Is VinFast a public company?
No, for now VinFast remains privately owned by the Vingroup conglomerate. When they launch their IPO they will become a public company whose shares will be traded publicly on the stock exchange.
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