SonKim Land announces US$100 million follow-up fundraising with EXS Capital and ACA Investments
SonKim Land Corporation, a leading Vietnamese real estate developer, and EXS Capital Ltd., an independent alternative investment group within Asia, announced the successful closure of their first round – US$46 million out of an expected US$100 million – of follow-up fundraising for SonKim Land. This is the second investment led by EXS Capital into SonKim Land through the Lemongrass Master Fund, after a successful initial investment of US$37 million in 2013.
For the follow-up investment, SonKim Land and EXS Capital are also partnering with ACA Investments, a leading Japanese fund management firm based in Singapore with a strong track record of investments across the Asia-Pacific region. ACA Investments has a wide variety of experience in the Vietnamese market, through investments in companies such as Bibo Mart and Cung Mua.
Hiroyuki Ono, partner at ACA Investments, said, “ACA Group is excited to co-operate with Nguyen Hoang Tuan, chairman of SonKim Land, and the SonKim Land team to mutually contribute to the development of the Vietnamese property market. This is our fifth investment in Vietnam. We have explored more than 100 opportunities in this country and identified SonKim Land as one of the few companies with both discipline and long-term vision. We hope to realise the potential demand between Japanese corporates hoping to expand into Vietnam and SonKim Land, which hopes to assist them.”
EXS Capital’s initial investment in 2013 began a multi-stage partnership with SonKim Land, aiming to build a leading real estate firm in Vietnam. EXS Capital helped to fund SonKim Land’s growth during a challenging time in the Vietnamese real estate market – and was even able to provided superior returns to investors during that period. The success of EXS Capital’s partnership with SonKim Land represents a strong validation of both SonKim Land’s performance as well as EXS Capital’s differentiated investment approach.
Eric Solberg, CEO of EXS Capital, said, “We are pleased to be partnering again with chairman Tuan and the SonKim Land team, helping to build the company into a leading listed real estate company in Vietnam. We are proud of SonKim Land’s strong reputation of being at the forefront of design, quality, and lifestyle in the Vietnamese market. We look forward to continuing our co-operation to ensure SonKim Land’s ongoing success.”
Since 2013, SonKim Land has grown rapidly, launching several award-winning luxury properties in Ho Chi Minh City, including Gateway Thao Dien and The Nassim.
Given the success of the first round of fundraising, SonKim Land and EXS Capital are excited to partner up for subsequent rounds. The first US$46 million round was issued in convertible SonKim Land bonds, redeemable at any time. Participants in this round included many of the original investors from 2013, who have chosen to bolster their position in SonKim Land, thereby signalling confidence in the company’s track record and expected future earnings.
With this additional fundraising, SonKim Land aims to continue to develop its repertoire of attractive developments across the country, including luxury residential and commercial developments in Ho Chi Minh City.
“EXS Capital’s follow-up and ACA’s initial investment into SonKim Land is strong evidence of our success in the Vietnamese property market. We have positioned ourselves as a pioneer property developer that creates unique living conditions for our customers,” said Tuan. “As a premier lifestyle brand, SonKim Land’s strategy is to focus on customers’ desires, co-operate with reputable partners, and learn from them to create customised and unique concepts for the Vietnamese property landscape. We believe that we will continue to be successful in strengthening our property development profile and improving the living standards of the Vietnamese people.”
By Hoang Anh
May 15, 2017
Vietnam Investment Review