Vietnamese Masan Group Corp acquires 70 percent of Mobicast JSC and its MVNO Reddi
- September 21, 2021
- Posted by: Allan Rasmussen
- Categories: Vietnamese Telecom, MVNA-MVNE-MVNO
Masan Group Corporation, enters the Vietnamese telecom sector with its 70% acquisition of Mobicast JSC and its MVNO Reddi
Masan Group Corporation, enters the Vietnamese telecom sector, with its 70% acquisition of Mobicast JSC, operating the MVNO Reddi, for a total cash payment of VND295.5 billion ($13 million)
Founded in 2016, Mobicast JSC obtained its license to operate as a MVNO under the brand Reddi in 2019. Reddi’s focus is on service quality and customer experience, targeting the youth segments and digitally-savvy consumers.
Reddi was officially launched, as the second MVNO in Vietnam on June 3, 2021, using the network of Vinaphone. The first MVNO to launch in Vietnam (April 2021) was Indochina Telecom, who also use the network of Vinaphone.
The Masan Group Corporation, (Công ty cổ phần Hàng tiêu dùng Masan), is among the top three largest private sector companies in Vietnam, in terms of market capitalization. The group was founded in 1996 and is headquartered in Ho Chi Minh city.
Its subsidiaries include:
• VinCommerce, which operates a nation-wide grocery retail platform through its supermarket chain, WinMart, and its minimart chain, WinMart+
• Techcombank one of the largest joint stock commercial banks in Vietnam
• Phuc Long – A Tea, Coffee, beverage brand.
Today, Masan’s direct to consumer platforms, Vincommerce, Techcombank and Phuc Long, lack a true integrated product and service solution to serve its approximately 15 million digital savvy consumers.
The entry into the telecommunication sector lays the foundation to digitalize Masan’s platforms and build a unified offline-to-online (O2O) products and services solution ecosystem.
On a standalone basis, Reddi stands to benefit from exclusive access to Masan’s costumer base, physical and online nationwide touch points. Specifically, this will lower Reddi’s consumer acquisition cost, enabling it to reinvest the savings to develop unique digital consumer solutions and a customer service experience platform.
Masan Group CEO, Danny Le, said: “Our mission is to develop the most efficient integrated O2O products and services platform to serve 50 million consumers throughout their daily journey by 2025. Reddi is the first step to digitalize our platform and synchronize our products and services into a unified offering. While we are in the early innings, we have all the strategic components to develop the most cost effective consumer acquisition model thereby lowering the costs of our services and products for the benefit of our consumers – this is the definition of Point of Life.”