The Vietnamese company wants to make it big in the USA.
VinFast is dead-set on making a big impression on the North American market. The Vietnamese EV brand is now considering going public in the US, possibly as early as January next year. This is according to information sourced by Bloomberg via unnamed insiders familiar with the matter.
Vingroup JSC, backed by Vietnam's wealthiest businessman Pham Nhat Vuong, is looking to raise $1 billion, but this figure could be higher if it manages to gauge more interest in the brand.
It is also understood that VinFast is in talks with some prominent investors who are helping the company figure out the best market conditions needed for an IPO launch.
Insiders say that the plan to list the company is still in talks and could change based on various factors. For now, VinFast's official representative did not comment on these plans. The company's Chief Financial Officer, David Mansfield, previously stated that it wants to start an IPO in the USA sometime next year. The rumors surrounding Vinfast's IPO date as far back as December 2021.
So far, the company has accrued roughly $1.2 billion in incentives and investments for its upcoming North Carolina EV production facility, where it will start producing the VinFast VF 8 and VF 9 by 2024.
Battery packs and chassis for these cars will be sourced by China's Contemporary Amperex Technology (CATL), which also happens to be one of Tesla's main suppliers.
Earlier this year, VinFast said it had raised $4 billion in funding from banks to launch a full expansion into the US market.
So far, it has accumulated 73,000 reservations globally for its cars, some of which made their dynamic debut at the 2022 LA Motor Show. VinFast gave showgoers a chance to ride shotgun so that prospective buyers could look closely at the new range of products designed by the famous Pininfarina.
According to earlier reports, VinFast will be entering the market with attractive starting prices of $40,700 for the VF 8 and $55,500 for the VF 9. You can lower these prices significantly if you opt for its monthly battery subscription, which costs $35 for the VF 8 and $44 for the VF 9.
Considering that battery life is one of the main reasons consumers refuse to go electric, the monthly subscription program may be the most vital selling point VinFast currently has.