Investment Funds

Vietnam's investment funds sector has been experiencing a period of consistent growth, mirroring the country's economic expansion. This sector is increasingly attracting both domestic and international investors, driven by Vietnam's stable political environment, consistent GDP growth, and a favourable population profile. The market offers a diverse range of investment opportunities, including mutual funds, private equity, and venture capital, with a particular focus on sectors such as real estate, manufacturing, and technology. 

Great care must always be exercised in the establishment of Vietnam-focused investment funds, whether foreign-domiciled or Vietnam-domiciled, and the investments by such funds once established. History has shown that there are numerous pitfalls awaiting those who fail to obtain specialist and experienced Vietnam law advice.

A sampling of our highlight matters in this area includes:

• Advising a specialised asset manager, currently with US$600 million in assets under management, on the structure of a potential acquisition of a number of Vietnamese affiliate companies carrying out sugar manufacturing and related activities.
• Acting for a large listed investment fund in regard to its contentious, proposed acquisition of shares in a Vietnamese company specialising in building and leasing Base Transceiver Station towers to mobile service providers.
• Advising on the proposed divestment by a global private equity firm from its investment through a controlling stake in a Vietnam-domiciled beverage manufacturing entity.
• Acting for a large global venture capital fund in respect of its acquisition of a strategic equity stake in one of Vietnam’s leading internet services companies.
• Advising an international investment firm in relation to the proposed establishment of an asset management company in Vietnam.
• Acting for one of the major investors of one of the largest foreign fund managers in Vietnam in regard to a proposed divestment of its interest to a strategic investor or international financial institution. The project was high profile because it involved the sale of a significant stake in one of the largest foreign fund managers in Vietnam. Frasers advised the strategic investor with respect to various aspects of the divestment process, including the appointment of a leading investment bank as corporate advisor, and from a strategic perspective with respect to the resolution of a range of control disputes involving shareholders and board members with divergent interests.
• Advising the largest investment fund manager in Vietnam on a complex deal involving a closed-end Cayman Islands exempt limited partnership that its major client had previously established and sponsored. Frasers was required to assist its client with documentation including a private placement memorandum that the fund manager wanted to release to prospective professional investors to raise additional capital for its second private equity fund.
• Acting for a property fund company on the establishment of a Vietnam-focused property investment fund. This involved the conduct of comprehensive legal due diligence on eight seed projects, at varying stages of development, and the documenting of complex yet effective contractual arrangements with Vietnamese developers.