VILAF advises Mondelez in buying snack business Kinh Do

November 2014

Ho Chi Minh City, 17 November 2014 - Clifford Chance (as Singapore counsel) and VILAF (as Vietnam counsel) have advised Mondelez International Inc in its acquisition of 80% of equity stake in Kinh Do Group’s snack business for $370 million. Mondelez is the maker of Oreo cookies and Ritz crackers.

According to Reuters, the deal includes two manufacturing plants and Kinh Do’s distribution network. Kinh Do is Vietnam's biggest snack producer and is the maker of Cosy biscuits and Solite soft cakes.

The VILAF team is led by Vo Ha Duyen, Managing Partner of VILAF’s Ho Chi Minh City Office, who is assisted by Pham Si Hai Quynh, the firm’s Corporate Partner based in Ho Chi Minh City.

Vilaf is proud to be involved as local adviser for KKR, Unicharm and Vincom in the list below:

The global financial crisis has put pressures on the Vietnamese economy with problems of inflation and interest rates and many small and medium-sized enterprises (SMEs) as well as larger firms have met financial and human resource difficulties.

Mergers and acquisitions are considered a good solution to bail out SMEs and allow larger companies to restructure their operations. They also present opportunities for foreign firms to capitalise on available resources of local enterprises when tapping into the Vietnamese market.

Below are some articles about M&A deals VILAF has recently been involved as local counsel:

Apart from number of more specific and clearer provisions, the draft decree proposes various significant and debatable requirements which need to be further considered by the government

Financial services industry insiders are upbeat about takeover activity in their sector, a new survey shows.
Thirty-eight per cent of the Vietnamese financial services executives said they expected financial services mergers and acquisitions (M&A) to increase significantly over the following 12 months, according to a new PricewaterhouseCoopers (PwC) survey.

Tom Huddleston Jr.

KKR & Co., Inc., and Masan Group Corporation--one of Vietnam"s largest private sector companies--announced Wednesday that KKR has agreed to pay $159 million for a 10 percent equity stake in Masan subsidiary Masan Consumer Corporation.

Tax is a hot topic in Vietnam at the moment with the unprecedented introduction of changes to three major tax laws effective from January 1, 2009, being the Corporate Income Tax (CIT), Value Added Tax (VAT) and Personal Income Tax (PIT) plus changes in how foreign contractors are to pay the CIT and VAT (Circular 134/2008/TT-BTC).
Vilaf