HA NOI (Bĩz Hub)— Private equity group Masan (MSN) announced yesterday that US investment fund TPG Growth had entered into definitive agreements to acquire a 49 per cent stake in its Masan Agriculture arm.

TPG Growth will pay about US$50 million to acquire the shares from Masan Consumer. This investment follows TPG Growth's initial investment in Masan Group in 2009 and is the fund's third investment in Viet Nam.

"Our investment in Masan Agriculture is a testament to our belief in the company's management team, our partnership with Masan Group and in the agricultural potential of Viet Nam," said TPG Growth managing partner William McGlashan.

Meanwhile, Masan Group chief executive Madhur Maini commented that the partnership with TPG provided the group with the necessary expertise and capital to invest in the agricultural sector.

Masan Agriculture currently holds a 40 per cent stake in Vietnamese French Cattle Feed, or Proconco, whose Con Co animal feed brand is popular among Vietnamese farmers.

Masan Group plans to transform Masan Agriculture into a subsidiary of the soon-to-be-created Masan Consumer Ventures, wholly owned by the group.

The transaction is subject to regulatory approval and other customary closing conditions and is expected to close by the end of this month. — VNS