What's next for Vingroup? What is One Mount Group?

Vietnamese conglomerate Vingroup has confirmed its goal is to increase the revenue portion of technology and manufacturing from the current 20 to 50 per cent.

Achievements of digital transformation, including comprehensive smart home and smart city solutions deployed at Vinhomes Grand Park and face recognition technology widely applied in Vinpearl hotels and resorts and VinWonders.

Moreover, the OneVinmec application deployed since May 2020 is expected to provide a wide range of medical solutions for customers. Meanwhile, personal movement tracking devices such as the Vantix band would help to raise labour productivity at Vinpearl by 15-25 per cent.

Last but not least, the group will actively accelerate its digital transformation on management, asset maintenance, and self-allocation activities at Vincom Retail, according to KB Securities.

Elsewhere, investors are also paying attention to One Mount Group – the technology-oriented firm with a 51.22 per cent stake owned by Vingroup.

One Mount Group was established in 2019 with the vision of building the largest technological ecosystem with solutions focused on optimisation and bridging of value chain gaps across high-growth economic sectors in Vietnam.

One Mount Group inherits a huge customer database from Vingroup. Its goal is to build the largest digital ecosystem in Vietnam with three main products.

First and foremost, One Mount Group will take advantage of VinID, a super app integrating many functions such as payment, housing management, goods purchase, and services.

Second, VinShop – a grocery platform supporting purchasing, shipping, store management, payment, financial support, and goods distribution – will become a distribution channel for other financial products and services.

Third, OneHousing is a one-stop destination for all needs in housing, supporting buying, selling, renting, and other real-estate-related services.

One Mount Group’s income mainly comes from fees from partners providing products and services on its platforms.

The firm’s strategic partner is Vietnamese commercial bank Techcombank, a provider of comprehensive financial solutions, KB Securities reported.

Elsewhere, Vinfast plans to launch the first electric car in the US in early 2022, and break even with its earnings before interest, tax, depreciation and amortization (EBITDA) in the next five years.

The company plans to launch two gasoline and three electric car models by 2022 and start operating VinBus electric buses from 2021 which, among its other electric cars will boost its domestic market share to 30 per cent.

In its foreign markets, VinFast will only introduce electric car models. Two of the three electric cars mentioned above should be sold in the US in early 2022.

VinFast is investing more in self-driving technology, battery technology, and charging systems, voice control technology and other technologies for better-customised experiences for drivers and passengers (info-tainment system).

The company plans to break even on an EBITDA basis in the next five years thanks to increasing output and market share combined with reducing production costs.