UOB Asset Management (UOBAM), the fund management company from Singapore intends to acquire VAM Vietnam Fund Management Company for $4.9m.
VAM Vietnam was established in 2006 and primarily invests in public equities. The company also makes investments in convertible debt and other equity‐linked instruments. The Singapore-based fund manager said it will purchase nearly 1.3 million shares from Nguyen Xuan Minh, chairman and co-founder of VAM Vietnam.
The deal for the firm’s 24.53% shareholding is valued at $4.9m (VND113,680 million).
After regulators approve the deal, another 3.47 million ordinary shares, or 75.47% of issued share capital, will be acquired by UOB Asset Management making VAM Vietnam its subsidiary.
The acquisition is not expected to have a material impact on the earnings or the net tangible assets of UOB for the current financial year.
After the deal, VAM Vietnam will become a subsidiary of UOB Asset Management. The acquisition is expected to strengthen UOB Asset Management’s presence in Asia, in line with its regionalization plans.
According to Vietnam Star, UOB Asset Management offers investment management expertise to institutions, corporations and individuals through customized portfolio management services and unit trusts.
UOB Asset Management, which manages 54 unit trusts in Singapore, is among the largest unit trust managers in Singapore in terms of assets under management