PwC advised SMBC Consumer Finance Co., Ltd on the purchase of 49% equity stake in VPBank Finance Company Limited (FE Credit) from Vietnam Prosperity Joint Stock Commercial Bank
The Corporate Finance teams from PwC Japan and PwC MYVN are pleased to announce the completion of Project Ferrum, the acquisition of a 49% equity stake by SMBC Consumer Finance Co., Ltd (“SMBCCF”), a consolidated subsidiary of Sumitomo Mitsui Financial Group (“SMFG”) in Vietnam's biggest non-bank lender, VPBank Finance Company Limited (“FE Credit”), from Vietnam Prosperity Joint Stock Commercial Bank (“VP Bank”) for a consideration of up to USD 1.4 billion. This is the second largest transaction ever recorded in Vietnam’s M&A history.
SMFG is one of the largest banking and financial groups in Japan. The group operates internationally in retail banking, corporate banking, investment banking, leasing, securities and consumer finance business. SMBCCF, the leading consumer finance company in the Japanese market, acquired the stake as part of the group's mid-term strategy to expand its business base in Asia.
FE Credit is currently the leading consumer finance company in Vietnam with approximately 50% market share that provides cash loan and credit card services to retail customers. With a nation-wide network and advanced mobile applications, so far, FE Credit has served about 11 million Vietnamese people with its unsecured lending and services offerings.
On the back of PwC MYVN’s very strong track record in consumer finance deals and the established market knowledge, PwC was able to bring SMFG into the process.
The Corporate Finance teams from PwC Japan and PwC MYVN acted as the exclusive financial advisor to SMFG in connection with the transaction.
The transaction was signed on 28 April 2021 and received final approval by the State Bank of Vietnam on 20 October 2021.
The PwC team:
| Gregory Bournet Partner, PwC Malaysia and PwC Vietnam |
Angela Yang Director, PwC Vietnam |
| Nguyen Viet Hung Senior Manager, PwC Vietnam |
Joanne Yap Senior Manager, PwC Malaysia |
| Tran Quang Huy Manager, PwC Vietnam |
Pham Thi Phuong Anh Manager, PwC Vietnam |
| Pham Duc Dung Manager, PwC Vietnam |
Contact us
Deals Partner, Corporate Finance Leader, PwC Malaysia
Tel: +60 (3) 2173 0269
