YKVN advises VN packaging leader Duy Tan Plastics in the sales of 70% stake to Thailand’s SCG

YKVN represented the shareholders of Duy Tan Plastics Manufacturing Corporation (“Duy Tan”) in relation to the sales of 70% stake in Duy Tan to SCG Packaging Public Company Limited (“SCGP”), a subsidiary of Siam Cement Public Company Limited.

The transaction will be carried out through a newly established and wholly owned subsidiary of SCGP and is expected to be completed in mid-2021.  The existing shareholders of Duy Tan will continue to hold 30% stake, and continue to support and manage the company, together with management from SCGP.

YKVN’s team included notably Vu Dzung (lead partner), Le Thi Loc (partner), Vu Mai Tram (senior associate) and Pham Thi Huong (associate).

This is a landmark M&A transaction in Vietnam especially in the context of Covid-19 pandemic. It continues to demonstrate the country’s potential and interest for international investors.

The investment in Duy Tan is an expansion of SCGP’s rigid plastic packaging business.  SCGP can now provide its FMCG customers and consumers in Vietnam with a full range of packaging products, both polymer-based and paper-based.  SCGP is SE Asia’s largest fully integrated packaging solutions provider.

Duy Tan is Vietnam’s top producer of rigid plastic packaging products with its 2020 revenues reaching over US$200m.  It is a leading supplier to multinational companies and local brand owners of consumer and FMCG products.  It also manufactures household plastic products, such as food containers, which are sold under the “Duy Tan” brand through more than 16,000 retail outlets, wholesalers, and supermarkets. Majority of Duy Tan’s products are sold in Vietnam, with 20% exported to the US and other markets.

For more information about YKVN’s M&A practice and how we can assist, please contact:

YKVN Marketing Team
T: (+84-28) 3 822 3155
marketing@ykvn-law.com