EV maker VinFast floats on Nasdaq to support global ambitions
Vietnamese vehicle manufacturer, VinFast Auto, listed yesterday [15 August] on New York’s Nasdaq stock exchange, giving the electric vehicle maker an equity value of over US$23 billion.
The company is looking to expand from its domestic stronghold into the global EV market, focusing on North America, Europe and South East Asia. Last month it began construction of a US$2 billion manufacturing facility in North Carolina, capable of building 150,000 vehicles per year.
VinFast makes a range of competitively-priced battery-powered SUVs, e-scooters and e-buses, promoting list price savings of up to 25% compared to Tesla and 29% compared to Hyundai.
The manufacturer was only founded in 2017, and its sales to date have been modest. It delivered only 11,300 EVs in the first half of 2023, alongside 20,000 e-scooters, although it is working towards a global production capacity of up to 300,000 vehicles per year. Its launch in the US was undermined by a recall for its VF8 model, which has an EPA-rated range of 264 miles (422km) due to problems with the multimedia head unit.
Four EV SUVs
The company has so far launched four EV models, the VF e34, VF 8 (pictured above), VF 9 and VF 5, and is preparing for the launch of the VF 3, VF 6, and VF 7 models.
In Vietnam, VinFast has developed its own public charging network across 63 cities and provinces, with further growth ambitions, mirroring Tesla’s Supercharger strategy.
Madame Thuy Le, Global CEO of VinFast Auto Ltd, said becoming a US-listed company marked a milestone in the company’s global expansion.
“Today’s successful listing not only supports VinFast’s commitment to sustainable mobility at a global scale but also unlocks access to the capital markets and important avenues for future development,” she said.
VinFast sold only a tiny proportion of its shares in the NasDaq flotation, with its existing shareholders (primarily the Vingroup) continuing to own 99% of its shares. The shares soared in value by 270% to a peak of $37, before settling back at $30 per share.
Image: VinFast
