M&A deals hit $5.7 bln during Jan-Oct period

It comes to cross-border transactions, Singapore leads the market with over $1.2 billion, followed by the US with $570 million and South Korea with $370 million.

However, comparable to 2021, Vietnamese companies continue to lead deals with a value of above $1.3 billion. The three primary sectors and businesses that draw the most investment are consumer ($1.2 billion), real estate ($900 million), and industrial ($800 million).

Significantly, the value growth in the energy sector is expected to be the highest in 2022, reaching approximately $600 million, an increase of roughly six times over 2021 overall.

Foreign investment funds are expected to pay close attention to the M&A market in Vietnam in the near future. This is because the country's macroeconomic situation is stable and its economic prospects are improving. The GDP growth is expected to rise to 7.5-8% in 2022 and 6.5% in 2023, making the country a focal point in the global economy.

Despite uncertainty in the capital market and bad debt, PE Fund and Venture Capital in Vietnam continued to develop strongly in the first few months of this year.  A $2 billion investment is anticipated in 2022, keeping Vietnam's unique startup ecosystem in the status of a "rising star" among Southeast Asian startups.

In 2021, there was a significant uptick in M&A activity, with a record year for both deal volume (651) and value ($8.8 billion). The number of deals closed on average each year more than tripled to around 450. 

The amount of transactions has increased dramatically, with 196 transactions valued at over $50 million, more than doubling the number from 2005 to 2013.