ThaiBev faces uncertainty in Vietnam foray

SINGAPORE (Sept 29): OCBC Research is downgrading Thai Beverage to “hold” with a fair value estimate of $1.01, citing uncertainty in its attempts to acquire Vietnam’s largest brewer, Saigon Beer, Alcohol, Beverages Corporation (Sabeco).

The Vietnam government is proposing to sell off brewers Sabeco and Hanoi Alcohol Beer & Beverages Corporation (Habeco) for an estimated US$2.2 billion ($3 billion).

ThaiBev has been named as one of several bidders for Sabeco according to various media outlets, notes lead analyst Jodie Foo. Sabeco, with a 46% market share in 2015, is the leader for beer in Vietnam according to Euromonitor International.

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