This initiative seeks to tap into the wealth of ultra-high-net-worth individuals and the unique investment landscape of assets such as art and fine wine, moving beyond traditional stock or bond products.
Documents filed with the Singapore Accounting and Corporate Regulatory Authority reveal that VinFast’s approach to these potential investors involves a partnership with the US-based FORCE Family Office – the largest network of family offices in the United States, helping connect with companies for co-investment, education and philanthropy.
This collaboration aims to engage “family offices, investors, ecosystems, and individuals of significant net worth” to cultivate a ready pool of clientele for VinFast.
Specifically, FORCE will introduce VinFast to the Alternative Assets community and Family Offices through over 100 online events and seminars annually.
FORCE’s submission states that successful attraction of family offices requires brand building and the development of direct dialogues.
In a statement to DealStreetAsia, Vingroup underscored the partnership’s goal to foster investment in its electric vehicle subsidiary. As per the agreement terms, VinFast will issue 60,000 ordinary shares to FORCE as a service fee, representing less than 5 per cent of the EV company’s currently issued and circulating shares.
Established in 2020, FORCE’s website describes its role in facilitating connections among family offices, as well as between these entities and both private and public companies for investment, research, education, and philanthropic activities. The aim is to forge relationships that lead to investment collaborations.
“Direct investment in both private and public firms has significantly increased over the last 20 years as the number of family offices has nearly doubled, and traditional investments have yielded low returns,” FORCE states on its homepage.
VinFast recently announced plans to increase its publicly traded share ratio from the current 2 per cent to 10-20 per cent by the end of the year. Beyond its local manufacturing facilities and a $2 billion plant in the US, VinFast is also looking to expand its manufacturing footprint in Asia.
The company intends to invest at least $1.2 billion in Indonesia for vehicle distribution and to establish an electric vehicle factory, while in India, it plans to invest up to $2 billion in building electric vehicle and battery factories.
