DWS fund invests $10m in VTC Online

VTC Telecommunications JSC Online (VTC Online)’s director board has recently made a long term target that VTC Online will have to be eligible to make an initial public offering (IPO) and list shares on one of five bourses including NASDAQ (US), HKEC (Hong Kong), SGX (Singapore), Kosdaq (Korea) and STC (Vietnam) by 2015, according to the company’s announcement.

This target is set after VTC Online received $10 million investment from the DWS Vietnam investment fund through Singapore- headquartered Duxton Fund Management Pte Ltd (Duxton).

According to the contractual agreement, VTC Online will use this investment amount from DWS Vietnam to continue to develop its five groups of strategic products and services, including Vietnam network development (go.vn), game production in any background, game distribution across the country and overseas, service development in telecommunications, television and online and offline education development.

According to the information from the local newswire VnEconomy, the investment amount of $10 million will be transferred into VTC Online’s account by Duxton.

Phan Sao Nam, VTC Online’s chair of the director board said that DWS fund’s decision to choose VTC Online as the first Vietnamese company in the digital content sector to invest is based on assessment on VTC Online’s leadership ability, development strategy, control system and development potential in the future. Of which, VTC Online has to commit to meet some growth targets such as total profit at 500 billion dong by 2014.

Thus, after IDG Ventures Vietnam, DWS is the second fund investing in VTC Online. Along with DWS Vietnam’s investments, the holding of institutional investors in VTC Online has increased up to over 60 percent, of which three biggest shareholders are Vietnam Multimedia Corp (VTC), DWS Vietnam fund and IDG Ventures Vietnam.

 

Category: Business