VinFast Auto Ltd. announced its Vietnamese subsidiary will acquire 100% of Ngoc Hoi Real Estate Investment Joint Stock Company. The transaction is valued at approximately $1.2 billion. Sellers include VinFast founder Pham Nhat Vuong.
The acquisition aims to provide earnings and cash flow from property development to support long-term growth. Ngoc Hoi holds a significant stake in a major mixed-use urban development project in Hanoi. VinFast plans to integrate its electric vehicle and green mobility ecosystem into this smart city project from its early stages.
Electric vehicles will remain the company's core business. The deal is expected to close in the third quarter.
VinFast shares rose 1.3% to $3.16 in premarket trading following the announcement. This move provides a new avenue for deploying the company's EV technology through founder-backed support.