Steel firm acquires Lilama’s zinc-coated steel plant

HANOI – Vietnam National Steel Corporation (VNSteel) has cut a deal to buy a stake of 85% in a zinc-coated steel sheet factory under Lilama Hanoi, the broker of the deal said. 

VPBank Securities Co. said that it has succeeded in consulting the merger & acquisition deal worth VND579 billion, or US$30 million, between Lilama Hanoi and VNSteel.

Under the deal, VNSteel via another legal entity buys the controlling stake in the factory in Quang Minh Industrial Park in Hanoi City.

Ngo Cong Cuong, general director of Lilama Hanoi, said that given the deal, Lilama Hanoi could retrieve capital to invest in its core business of construction while VNSteel can save time to invest in infrastructure as well as can take advantage of the company’s existing distribution network in the north. 

Nguyen Lam Dung, deputy general director of the securities company, said that this was a typical consulting deal conducted by the company this year.

“VPBS has suggested a reasonable scheme for the deal satisfying each of the two participants and ensure economic benefits for the new enterprise established from the M&A deal,” he said.

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Steel firm acquires Lilama’s zinc-coated steel plant

HANOI – Vietnam National Steel Corporation (VNSteel) has cut a deal to buy a stake of 85% in a zinc-coated steel sheet factory under Lilama Hanoi, the broker of the deal said. 

VPBank Securities Co. said that it has succeeded in consulting the merger & acquisition deal worth VND579 billion, or US$30 million, between Lilama Hanoi and VNSteel.

Under the deal, VNSteel via another legal entity buys the controlling stake in the factory in Quang Minh Industrial Park in Hanoi City.

Ngo Cong Cuong, general director of Lilama Hanoi, said that given the deal, Lilama Hanoi could retrieve capital to invest in its core business of construction while VNSteel can save time to invest in infrastructure as well as can take advantage of the company’s existing distribution network in the north. 

Nguyen Lam Dung, deputy general director of the securities company, said that this was a typical consulting deal conducted by the company this year.

“VPBS has suggested a reasonable scheme for the deal satisfying each of the two participants and ensure economic benefits for the new enterprise established from the M&A deal,” he said.

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• Vietnam grants new gold import licenses, quotas

India, US finalizing $5.8 billion Boeing aircraft deal

NEW DELHI - India is aiming to finalize a $5.8 billion defense agreement with the United States before the November visit of President Barack Obama in a deal that would mark the biggest India-US defense deal ever.

The two countries are in talks for India to acquire 10 Boeing Co's C-17 Globemaster III planes, senior government officials said on Wednesday, adding the parties hope to make the announcement during Obama's visit.

"The $5.8 billion deal along with all potential support services and spares is the biggest-ever defense deal between the two countries till now," a senior government official told Reuters.

Another official said the actual announcement could be made during President Obama's visit.

India and the US are building a strategic alliance and security experts say New Delhi's growing ties with Washington are seen as a counterweight against China's growing military clout.

India and the United States signed a landmark civilian nuclear deal in 2008 and another pact in July last year, facilitating the entry of US companies like Lockheed and Boeing into India's lucrative defense market.

New Delhi expressed its interest in January to buy the heavy-lift C-17 Globemaster aircraft, capable of carrying large combat equipment and troops.

"India will receive the most advanced version of the C-17 available, which will include the latest upgrades and capability," said Vivek Lall, Boeing's Vice President India, confirming the deal.

Boeing has sold 221 C-17 Globemaster planes to several countries so far, including Qatar, United Kingdom, Australia and Canada, the company said.

India is looking to spend more than $50 billion over the next five years to modernize its armed forces and largely Soviet-era equipment, an effort that is in particular focus after the 2008 Mumbai attacks revealed security loopholes and the need to upgrade defenses.

It is also expected to finalize a deal to buy 126 fighter jets.

Boeing's F/A-18 Super Hornet is also competing with Lockheed Martin's F-16 , France's Dassault Rafale, Russia's MiG-35, Sweden's Saab JAS-39 Gripen and the Eurofighter Typhoon, produced by a consortium of European companies.

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