Once the transaction with the special purpose acquisition company is completed, the existing shareholders of VinFast will hold around 99% shares of the combined company
Vietnam-based VinFast Auto Pte. Ltd. recently announced that it has entered into a business combination agreement with a special purpose acquisition company (SPAC), Black Spade Acquisition Co (BSAQ). The auto company said that after the transaction, VinFast will be publically listed in the United States and have an equity value of over $23 billion.
As per the press release, the business combination values VinFast at an enterprise value nearing $27 billion and an equity value of $23 billion, not including cash from BSAQ’s around $169 million of cash in trust (assuming no Black Spade shareholders elect to have their Black Spade shares redeemed for cash as permitted).
Subject to regulatory and shareholder approvals and other closing conditions, the transaction is expected to close in the second half of 2023, after which, existing shareholders of VinFast will hold around 99% shares of the combined company.
Global CEO of VinFast, Madame Thuy Le remarked, “VinFast has already demonstrated the ability to quickly reach international markets. The partnership with Black Spade and listing of VinFast in the U.S. represents the perfect capital raising avenue for our future global ambitions and is also an important accomplishment for Vingroup.”
“VinFast has demonstrated its execution excellence by building up a maximum production facility of up to 300,000 electric vehicles (EVs) a year and having a full range of beautifully designed high-quality EVs, all within the span of a few years. With the support of Vingroup, one of the largest conglomerates in Vietnam, VinFast is very well positioned to take advantage of the EV lifestyle trend and we are very excited about the future potential growth of VinFast in Vietnam and globally,” said the chairman and Co-CEO of Black Spade, Mr Dennis Tam.
Black Spade Acquisition Co is a blank check company incorporated for the purpose of effecting a business combination (Special Purpose Acquisition Company). NYSE-listed Black Spade was founded by Black Spade Capital, which runs a global portfolio consisting of cross-border investments while seeking to add new investment projects.
2017-born VinFast, a member of Vingroup, is a leading Vietnamese automotive manufacturer which converted into a fully EV manufacturer in 2022. The company exports electric SUVs, e-scooters and e-buses across Vietnam, the United States, and, soon, Europe.
