Vietnamese retail conglomerate, Masan, has inked a US$350 million investment for its subsidiary, The CrownX (TCX), eyeing an offshore IPO.
The investment takes the value of Masan’s consumer retail unit – which owns the Vinmart and Vinmart+ chains, currently being rebranded as Winmart and Winmart+ – to US$8.2 billion, or $105 a share. The consortium of investors includes TPG, Platinum Orchid (a wholly owned subsidiary of Abu Dhabi Investment Authority), and Temasek-owned SeaTown Master Fund.
“The partnership with TPG, ADIA and SeaTown is a validation of our ability to bring to life our Point of Life vision,” said Danny Le, CEO of Masan Group. “This marks the end of our capital raising activities at The CrownX as we shift our entire focus to scale up our Point of Life platform nationwide both off and online.”
The CEO said TCX plans to launch an international IPO in 2023-2024, aiming to increase its share of the consumer wallet, digitise the entire platform and achieve double-digit profit margins.
Since its inception last year, TCX has attracted more than US$1.5 billion in investments from marquee global investors.
“Having witnessed Masan’s turnaround of WinCommerce, we believe that The CrownX is the platform to capture this opportunity,” said David Tan, MD at TPG Capital Asia. “They will develop the ecosystem further to expand their services to create value for all Vietnamese consumers.”
According to the group, the proceeds will be used to invest in growth initiatives and conduct a share buyback, including the development of the mini-mall concept. The company said the next “game changer” will be developing fin-tech solutions including buy now pay later products for the underserved, mass market consumers by leveraging its loyalty platform with Reddi at the core.