Tesla had better watch out: the Vietnamese may just give them a run for their money.
Vietnamese electric vehicle (EV) manufacturer VinFast formally filed for an initial public offering (IPO) with the US Securities and Exchange Commission (SEC) on Wednesday, December 7th.
Using the ticker symbol VFS, the company hopes to be listed on the tech-centric Nasdaq. However, the company has yet to announce how many shares will be offered as well as their price range.
Lead bankers for this pending IPO will be Citigroup Global Markets, Credit Suisse, JP Morgan Securities, and Morgan Stanley.
What Does VinFast Have to Offer the Market?
Well-differentiated vehicles sold at a relatively lower cost than its competitors are what VinFast plans to offer to the western market.
Its premium product offerings are equipped with state-of-the-art technology, au courant design, new-mobility features, and the company’s own proprietary Smart Services solutions.
According to company representatives, most of the products the company plans to offer to its market are SUVs, currently at the top of the consumer vehicle sector. But what sets these apart are their proprietary technological inclusions and luxury-grade outfitting.
In doing so, the Vietnamese firm is set to position itself at the forefront of development regarding smart mobility.
VinFast’s IPO comes in the wake of its parent company’s recent collaboration with Google Cloud. VinGroup vice-chairperson and VinFast chair, Le Thi Thu Thuy, remarked that Google Cloud’s state-of-the-art cloud infrastructure and unified data platform will enable the company to analyze and understand the needs of its customers, as well as to provide unique products and services to produce a compelling customer experience.
Set for Expansion
Along with its impending US IPO, VinFast also plans to bring its manufacturing facilities to the country.
In July, the company received a $1.2 billion incentive package from the state government of North Carolina to develop and operate an EV manufacturing facility in Chatham County’s Triangle Innovation Point.
The VinFast facility will be built on a 2,000-acre site, with specific sections for the production and assembly of both electric cars and buses. There will also be provisions for ancillary industries for company suppliers.
It is expected that VinFast’s US factory will produce around 150,000 EVs a year.
However, several industry watchers feel that VinFast is in for an uphill climb as it is diving into an already crowded industry that includes global EV pioneer Tesla and upcoming startup Tracxn.