Vietnam-based carmaker VinFast’s plans to go public in the US may be delayed until next year, Reuters reported.
Parent conglomerate Vingroup’s chair Pham Nhat Vuong said the IPO – slated for Q4 this year – was delayed due to market uncertainty, though it will go ahead eventually “no matter how uncertain the market.”
He added that the listing was not just for fundraising but also about marketing and claiming VinFast’s position globally.
This was another delay from earlier plans to list by Q2 of 2021, where it aimed for a US$60 billion valuation with an expectation to raise at least US$3 billion.
The IPO comes as VinFast looks to build its first North American factory. The firm plans to spend US$4 billion on the project, with half of the cost set for its first phase.
However, it currently faces obstacles in obtaining parts from China due to the closure of chip factories in Shanghai caused by local Covid-19 lockdowns.
Vinfast’s other target for 2022 is to phase out internal combustion engine cars and transition into producing only electric vehicles (EVs). It is also banking on its electric SUVs and battery leasing model to make a dent in the US market.
See also: Meet the 15 top-funded startups and tech companies in Vietnam
Editing by Miguel Cordon
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