HA NOI (VNS)— The Siam Cement Group said it had recently entered a conditional share purchase agreement with the Prime Group Joint Stock Company, a major manufacturer of ceramic tiles in Viet Nam.
Total investment will be US$234 million.
Under the agreement, SCG will acquire a 85 per cent stake in the company and help to increase SCG's competitiveness in Viet Nam and ASEAN.
In Q4/2012, SCG in Viet Nam recorded sales revenue of VND1.7 trillion ($83 million), a 15 per cent year-on-year increase, with increased demand for packaging paper.
SCG began its regional expansion with Viet Nam as its strategic hub in 1992. It has 17 operations in Viet Nam with more than $370 million in total assets. SCG's subsidiaries in Viet Nam include Viet-Thai Plastchem Co Ltd, TPC Vina Chemical and Plastic Corporation Co, Vina Kraft Paper Co, SCG Building Materials Co, Tien Phong Plastics Joint Stock Company and Binh Minh Plastics Joint Stock Company.-VNS