17 October 2012

BDA advises funds managed by Prudential plc on sale of 40% stake of Proconco in Vietnam

divested 40% stake in Proconco to


Masan Consumer JSC (“Masan Consumer”), one of Vietnam’s largest diversified consumer companies, announced that it will acquire 40% of the shares in Vietnam-France Animal Feed Production JSC (“Proconco”).

Masan Group, (HOSE: MSN, “Masan”, “The Group”), one of Vietnam’s largest private sector business groups, acquired the 40% stake in Proconco on behalf of Masan Consumer from Prudential Assurance Private Limited and PCA International Funds SPC (Vietnam Segregated Portfolio) for a total cash consideration of approximately US$96m. Masan will transfer the 40% stake to Masan Consumer at cost. Closing of the transaction between Masan Group and Masan Consumer is subject to corporate and creditor approvals.

BDA advised Prudential Assurance Private Limited and PCA International Funds SPC (Vietnam Segregated Portfolio) on the transaction.

The Proconco acquisition lays the foundation for Masan Consumer to enter the attractive processed meat segment – significant growth potential backed by Vietnam’s population growth and increasing per capita consumption of animal protein. Since its founding, Proconco has established the premier brand in agricultural feed in Vietnam, Con Co. Proconco’s deep understanding of local farmers combined with international R&D capabilities, allow it to offer product quality that is of international standards and uniquely customized for domestic livestock. Proconco has also developed one of the deepest nationwide agricultural networks in Vietnam with over 475 distributors covering 63 provinces and municipalities.

About Masan Group Corporation
Masan Group is one of Vietnam’s largest private sector companies focused on building market-leading businesses that capitalize on Vietnam’s structural consumption and resources stories.

About Masan Consumer Corporation
Masan Consumer is one of Vietnam’s largest local diversified FMCG companies. It manufactures and distributes a range of food and beverage products, including soya sauce, fish sauce, chili sauce, instant noodles, instant coffee and instant cereals. Masan Consumer commenced operations in 2000 and has subsequently grown its product portfolio, domestic sales and distribution channels to establish a leading position in Vietnamese branded consumer food and beverage market. Key brands include Chin-su, Nam Ngu, Tam Thai Tu, Rong Viet, Omachi, Oh Ngon, TienVua, Kokomi, Vinacafé and De men.

About Proconco
Proconco is the leading domestic livestock and aqua feed manufacturer in Vietnam. The Company offers a wide range of high quality feed products for pigs, chicken, quails, cows, ducks, fish, and shrimp. Proconco operates across the complete agricultural feed value chain, including formulation expertise, production capabilities, supply chain infrastructure, warehousing, marketing and distribution.

About Prudential plc
Prudential plc is an international financial services group with significant operations in Asia, the US and the UK. Prudential serves over 26 million customers and have £363 billion of assets under management (at 30 June 2012). It is listed on stock exchanges in London, Hong Kong, Singapore and New York.

About BDA
Business Development Asia (“BDA”) an investment banking firm that advises on international mergers and acquisitions. We specialize in cross-border transactions involving Asia with enterprise values up to US$1bn. We have a strong track record advising North American, European, and Asian firms on cross-border transactions. BDA was named Investment Banking Firm of the Year by M&A Advisor in December 2010. BDA is headquartered in New York with offices in London, Beijing, Shanghai, Hong Kong, Mumbai, Bahrain, Seoul and Tokyo.

For more information regarding this transaction, please contact Paul DiGiacomo in Hong Kong on (+852) 2537-9565 or pdigiacomo@bdallc.com