M&A deals have continued the steady rise in recent years as an emerging investment channel for companies inside and outside the nation, according to the press conference. In the first quarter alone, the value of M&A transactions reached US$1.5 billion out of the total US$92.4 billion recorded in the Asia Pacific region, with Vietnam ranking eighth.

According to figures collected by Thomson Reuters, IMAA and AVM Vietnam, the total value of M&A deals conducted in Vietnam in 2011 totaled US$4.7 billion versus a slight US$1.7 billion in 2010. Of this figure, over US$2.6 billion worth of deals involved foreign investors.

There are many foreign companies ready to acquire local firms to take advantage of low costs and convenient access to the domestic market, said Andy Ho, managing director of VinaCapital.

Meanwhile, Dang Xuan Minh, general director of AVM Vietnam, indicated an influx of Japanese investments into Vietnam via M&A. Japan’s Mizuho Corporate Bank (MHCB) has acquired a 15% stake in Vietcombank to become the local bank’s strategic investor and another Japanese firm, Unicharm Corporation, has bought into Diana Vietnam to secure a 95% stake, Minh said.

“All big deals by value are related to foreign investors, accounting for up to 66% of the total value."

The 2012 M&A Vietnam Forum is slated for June 7 at the Riverside Palace Convention Center in HCMC.