Creador to invest additional $100 million in Vietnamese M&A deals

February 22, 2018 | 17:14

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After spending more than $40 million on buying into Mobile World Investment JSC (HoSE: MWG), Kuala Lumpur-based investment fund Creador will continue to invest an additional $100 million in M&A deals in Vietnam in the next three years.

creador to invest additional 100 million in vietnamese ma deals

Brahmal Vasudevan, CEO of Creador (Source:Dealstreetasia)

This was announced by Brahmal Vasudevan, CEO of Creador, at a recent interview with Dealstreetasia.

Brahmal Vasudevan said that the fund is impressed with the speed of economic growth in Vietnam. Besides, it sees similarities between Vietnam and China and India, which are two of its main investment destinations.

At present, the fund is collecting capital for the $500-million investment fund named Creador IV. The collection is expected to be completed in June this year and Creador will spend 20 per cent of this capital ($100 million) on investing in M&A deals in Vietnam.

Previously, in January, Creador completed the purchase of five million shares, or a 35 per cent stake, in MWG for $43 million from Mekong Enterprise Fund II.

“With a thriving young population and rising disposable incomes, we foresee robust growth in the Vietnamese consumer sector. MWG stands out among its peers, not only because of its dominance in offline retailing, but also its market-leading position in online retailing with 16 per cent market share currently,” Creador said in a note to investors.

After this deal, Creador had plans to implement another M&A deal in Vietnam this year.

Established in 2011, Creador is a private equity firm focused on partnering with passionate entrepreneurs to grow world-class businesses in South and Southeast Asia.

The private equity firm closed its previous vehicle at $415 million in late 2016. It specialises in investing in finance, retail, F&B, pharmaceuticals, media, and business supporting services.

The core geographies are Malaysia, Indonesia, Singapore, and India, with deals in other markets considered on an opportunistic basis.

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