VNG’s Zalo messaging platform, boasting 75 million active users in Vietnam, has announced plans to list in the United States once market conditions become favorable. The internet firm, which offers a range of services including music streaming, online games, and mobile payment solutions, filed for an initial public offering (IPO) earlier this year. Despite the recent delay in the listing due to challenging market conditions, VNG remains confident that it will proceed with the IPO on the Nasdaq exchange.
VNG, established in 2004, has gained significant popularity through its Zalo messaging platform, making it one of the country’s most widely used communication apps. With a vast user base of 75 million monthly active users, the firm has positioned itself as a leading player in the Vietnamese digital landscape.
VNG’s co-founder and CEO, Le Hong Minh, stated in an interview with AFP that the company aims to list on the Nasdaq when favorable market conditions arise, but he refrained from providing a specific timeline. Minh also made it clear that VNG will not be following in the footsteps of Vietnamese electric vehicle manufacturer VinFast by using a special purpose acquisition company (SPAC) for its listing.
According to a filing with the US Securities and Exchange Commission, VNG plans to sell nearly 22 million shares in the IPO, with the price range yet to be determined. The company, headquartered in Ho Chi Minh City, intends to expand its operations into Southeast Asia, the Middle East, and Latin America.
In a statement to potential investors, Minh and co-founder Vuong Quang Khai highlighted VNG’s humble beginnings, writing, We were born after the war, in a nation that had found peace and unity, but was still struggling with underdevelopment and isolation. Little did we know how lucky we were when the internet arrived in Vietnam in the middle of the 1990s. The world magically and suddenly opened the door for us.
VNG boasts notable shareholders, including Chinese internet giant Tencent and Singapore state investor Temasek, further supporting its position as a key player in the Vietnamese internet industry.
Despite the delay in the listing, VNG remains committed to its plans and looks forward to taking advantage of favorable market conditions in the future. With its successful Zalo messaging platform and various other digital services, the firm aims to expand its reach and make a significant impact in the global market.
As VNG continues to navigate the complexities of the IPO process, investors and industry observers eagerly await the company’s listing on the Nasdaq and the potential it holds for further growth and success in the evolving digital landscape.
