Billionaire Pham Nhat Vuong is preparing to launch a billion-dollar IPO for one of his flagship companies. Alongside him, several prominent Vietnamese corporations are planning to list high-value stocks, offering much-needed quality options to the Vietnamese stock market (VSM).

In recent years, the Vietnamese stock market has seen significant outflows of foreign capital. Contributing factors include rising interest rates in the U.S., a weaker Vietnamese Dong (VND) against the U.S. Dollar (USD), and limited room for investment in top-tier companies.

However, projections suggest a strong influx of foreign capital in the coming years, as Vietnam's stock market is upgraded and stabilizes, while U.S. interest rates enter a downward cycle.

According to Dragon Capital, an IPO wave could emerge between 2027 and 2028, potentially worth tens of billions of dollars.

Pham Nhat Vuong’s Vinpearl IPO

Among the notable IPOs is Vinpearl, a subsidiary of Vingroup, led by Pham Nhat Vuong. The company is set to debut in the first quarter of 2025, aiming to raise over 5 trillion VND (approximately $209 million).

Vinpearl plans to issue over 70 million shares at 71,350 VND per share. Proceeds will be allocated toward investments in its subsidiary, Vinwonders Nha Trang, the acquisition of Vingroup projects, and debt repayments.

As of mid-2024, Vinpearl boasted an equity value exceeding 31.5 trillion VND ($1.3 billion) and total assets of 67.7 trillion VND ($2.7 billion). It is one of Vietnam’s leading tourism and hospitality brands, with resorts, amusement parks, and golf courses in major destinations like Phu Quoc, Nha Trang, and Quang Ninh.

Vinpearl previously traded on the Ho Chi Minh Stock Exchange (HoSE) under the ticker VPL before merging with Vincom to form Vingroup in 2011. Its return to the stock market is expected to attract significant interest from investors.

The IPO pipeline

Dragon Capital anticipates a broader IPO wave between 2027 and 2028, featuring major players such as Thaco Auto, Bach Hoa Xanh, Highlands Coffee, Golden Gate, VNPay, and Viettel IDC.

Several large enterprises may also upgrade from the Unlisted Public Company Market (UPCoM) to HoSE, including Airports Corporation of Vietnam (ACV), Binh Son Refining and Petrochemical (BSR), and Masan Consumer (MCH).

The arrival of these large-cap stocks is expected to make Vietnam’s stock market more attractive to both domestic and international investors. This growth aligns with expectations that Vietnam will achieve an upgraded market status as early as September 2025.

Currently, Vietnam has met seven of nine key criteria set by FTSE Russell. An essential improvement, removing prefunding requirements for foreign investors, is close to completion.

Experts estimate that billions of dollars will flow into Vietnam’s market upon its upgrade, with funds gravitating toward prominent stocks such as Vinhomes, Hoa Phat, Vietcombank, and Vinamilk, as well as newly listed companies.

Optimistic outlook for 2025 and beyond

Vietnam’s economy is forecast to grow by 9% in 2025, according to Dragon Capital, while profits for publicly traded companies could rise by 25%.

The combination of robust economic growth, an upgraded market status, and the influx of foreign investment is expected to usher in a new growth cycle for Vietnam’s stock market over the next five years.

Reflecting on history, the IPO wave of 2006-2007 brought over 100 new stocks to the market, including those of Vingroup, FPT, and PV Drilling. This wave contributed to the VN-Index reaching 1,200 points for the first time.

As high-quality stocks return to the market, investors can look forward to abundant opportunities in the coming years.

Manh Ha