A production line of Tan Hiep Phat. The company plans to sell stakes for foreign investor. — Photo VNA

HA NOI (Biz Hub) — Beverage firm Tan Hiep Phat plans to sell a minority stake in a deal that could increase the value of the company up to US$2 billion, the Wall Street Journal has reported.

The company, owned by businessman Tran Quy Thanh, will sell a stake to fund expansion plans for the business. Tan Hiep Phat has hired a foreign investment bank to consult on the plan, the newspaper said.

Being one of the largest privately-owned consumer-goods producers in Viet Nam, Tan Hiep Phat's most famous products includes Zero Degrees Green Tea with Lemon, Dr. Thanh Herbal Tea and Number 1 Energy Drink.

The company was established in 1994 and is located in the southern Binh Duong Province. Currently, it has 4,000 employees and four plants nationwide.

If successful, the deal would add to a flurry of mergers and acquisitione activity in Viet Nam, which has seen many foreign investors snapping up stakes in consumer-focused companies.

Earlier, Thailand's Singha Group agreed to invest US$1.05 billion in Viet Nam's Masan Consumer Holdings (MCH) for a 25 per cent stake and another US$50 million in Masan Brewery for a 33.3 per cent stake.

Viet Nam is considered as one of the most potential growth markets in Asia. The country benefits from a young population and a booming export sector that is attracting business from higher-cost countries, especially Chinese firms.

The country's economy is expected to grow 6.7 per cent this year, the same pace as in 2015, and its stock market was one of the best performers in Southeast Asia last year, up six per cent. — VNS