VIETNAM October 2019
 
Tan Hiep Phat seeks US$3 billion injection from investors for its Asia expansion
 
Major Vietnamese beverage firm, Tan Hiep Phat Beverage Group (THP), is seeking a strategic partner that can invest up to US$3 billion in expanding its operations in Asia and globally.
Interestingly, in 2012, the family-owned company had rejected a US$2.5 billion offer from The Coca-Cola Company to acquire a stake in the company as it said the latter did not share similar vision as THP.
Tran Quy Thanh, Founder of THP expects sales to double to US$1 billion in the next 5 years. He added the company plans to produce an energy drink which is ‘less sweeter’ but packed with caffeine jolt, that is suitable for both Vietnamese and Asian taste buds.
THP is the leading non-alcoholic beverage producer in Vietnam, surpassed only by the joint venture between PepsiCo and Suntory Holdings Ltd. However, its presence in Southeast Asia is still small. It sold about 510 million litres of drinks in 2018, while Danone’s unit in Indonesia, the beverage market leader in Southeast Asia, sold 5.3 billion litres.
The company is now looking to expand sales to neighboring Southeast Asian countries, after investing US$500 million on 3 new factories in the domestic market. THP hopes to find a partner or an investor to help it sell its new energy drink to rival Red Bull in Asia, as well as sell its top selling bottled tea drink, namely Zero Degree Green Tea to other Asian consumers.
THP hopes to capitalise on the growing middle class as well as a growing number of younger but health-conscious consumers who prefer teas and natural drinks with no artificial flavors or high sugar contents.
THP is also open to acquiring smaller beverage players in Asian countries with established tea markets such as Thailand and Taiwan, said Deputy CEO Tran Uyen Phuong, adding that THP is willing to invest as much as US$50 million in this acquisition.
 
X

Login

Enquiry

* denotes compulsory

Complimentary Copy

This is a onetime free circulation. For future issues, you will need to subscribe to ensure you receive timely regular copies in both printed and softcopy formats.

* denotes compulsory










Subscribe to Asia food & beverages report and get 1 year (6x) issues in printed (by mail) & softcopy (by email) as well as 1 year access to our online databank with a single user id and password. To subscribe, click to subscription now.

Subscription

* denotes compulsory

I wish to subscribe to 6 issues (1 year) of Asia food & beverages report as well as gain 1-year access to its online databank which contains past years' reports, articles and extracts at only US$300.

I wish to pay by:

Payment Type *

Print

If you would like to pay by cheque, please send the order form with cheque attached made payable to 'Consumer Goods Intelligence Pte Ltd.
Consumer Goods Intelligence Pte Ltd
10 Anson Road, #10-06 International Plaza
Singapore 079903
Tel: +65 6348 8973
Fax: +65 62275402
Email: info@asiafoodbeverages.com

Subscriber to Asia food & beverages report also gains benefits in terms of further discounts by up to 20% for advertising, advertorial and research services.