VietNamNet Bridge – A lot of luxury hotels, tourist sites and resorts developed by foreign investors in Vietnam have fallen into the hands of domestic investors. The big guys are ready to spend big money to possess the assets which they believe can bring long term benefits.
Multi-million dollar affairs completed in silence
While many real estate developers are trying to bargain away property projects to foreign investors before withdrawing from the market because of the lack of capital, many other Vietnamese investors are trying to acquire the big foreign developed projects.
Hanel Hanoi, which became well known as an electronics enterprise, has bought 100 percent of stakes of the five star hotel Daewoo Hanoi from a South Korean enterprise. This is one of the biggest and most luxurious hotels in Hanoi, located on the “golden land” with advantageous position.
Though the value of the deal has not been revealed, experts believe that the assignment deal is worth multi-million dollars.
The information that the Hilton Opera Hotel has changed hands would surprise many people, who could not imagine that a Vietnamese businessman would be powerful enough to buy the hotel from the German and Austrian owners.
The information about the deal was only exposed to the public after the deal was wrapped up. The deal was made so quietly that people only heard about it when staying at the hotel and reading the introductions about the new investor put on the table in their rooms.
The buyer is the BRG group owned by Nguyen Thi Nga, a well-known person in the business circle as the owner of the two golf courses in Do Son (Hai Phong City) and Soc Son in Hanoi. Nga is also the owner of the “golden land plot” on the Thanh Cong lake side, the President of SeABank, a joint stock bank headquartered in front of the head office of the Ministry of Finance.
Especially, Nga became more famous after the equitization of Intimex – a big enterprise of the Ministry of Industry and Trade. Nga succeeded in the struggle to obtain the post of the president of the company, which possesses a lot of real estate products. These include the land plot on Le Thai To Street that faces the Hoan Kiem Lake in the central area of Hanoi.
Some five star resorts, considered the first five star resorts in Vietnam, now well known all over the world have also been transferred to Vietnamese investors. Furama resort in Da Nang City is an example. In mid 2005, Sovico, a domestic conglomerate, bought all the stakes of the Bac My An tourism complex, run by the joint venture of the Vietnam’s Da Nang Tourism Company and Hong Kong’s Lai Sun group.
Sovico Holdings is also a well-known name in Vietnam. It is one of the founding shareholders of Techcombank and VIB Bank. The group is trying to expand its business scale by jumping into the hotel sector, holding the controlling stakes in Ho Guom Hotel in Hanoi, teaming up with Saigontourist to develop the Phu Quoc tourist site. It is also building a five star resort, a part of Arivana project in Da Nang City. Especially, Sovico Holdings is the biggest founding shareholder of VietJet Air.
Another big deal made recently was the one in which Thien Minh Tourism Company bought the Victoria hotel and resort chain in Vietnam and Cambodia. After the deal, the five resorts and hotels bearing Victoria brand developed by Hong Kong’s EEM Victoria in Vietnam and Cambodia have been transferred to Thien Minh. These include Victoria Phan Thiết Beach Resort & Spa, Victoria Sapa Resort & Spa, Victoria Can Tho Resort, Victoria Chau Đoc Hotel, Victoria Hội An Beach Resort & Spa in Vietnam, and Victoria Angkor Resort & Spa (Cambodia).