Automaker Thaco to develop into diversified group
Automaker Thaco to develop into diversified group
Local automobile manufacturer Truong Hai Auto Corporation (Thaco) plans to grow into a diversified group, with the retail industry first on its agenda.
At its annual general meeting of shareholders on Wednesday, Thaco outlined its goal to earn a consolidated net profit of more than VND6.2 trillion (US$268 million) in 2019 on revenue of over VND79.7 trillion (US$641 million).
In the first quarter of this year, the corporation made over VND14.8 trillion in revenue and VND964 billion in profit.
Thaco’s shareholders approved its development strategy for the 2019-2021 period, where Thaco will transform into Thaco Group, operating in a wide range of sectors, including mechanical and automobile; agriculture and forestry; investment in transport infrastructure, industrial parks and urban areas; and commerce and logistics.
Thaco’s chairman, Tran Ba Duong, said that the firm’s commercial business activities are based on its system of trade centers combined with car showrooms, under the model “One stop, numerous services.”
For example, Thaco is expected to launch its first commercial center, called Socar Sala, in District 2, HCMC. The center will accommodate supermarkets, food courts, convention centers, entertainment facilities and cinemas.
According to the chairman, Thaco will boost its commercial business at three trade centers in the central coastal city of Danang and in the Mekong Delta provinces of Long An and Kien Giang.
In the agriculture sector, Thaco and Hoang Anh Gia Lai (HAGL) Group announced their strategic partnership last August.
Later, Thaco set up THADI Indochina Agriculture Processing and Distribution JSC with charter capital of VND2.1 trillion, in which Thaco owns a 70% stake to invest in fruit trees, cereal, forestry, agricultural material and animal husbandry.
In March this year, THADI struck a strategic cooperation agreement with Hoang Anh Gia Lai Agricultural Company, a subsidiary of HAGL, to grow fruit trees in Vietnam, Laos and Cambodia; export fruit to high-income markets; and offer import-export and logistics services.
Thaco also intends to carry out transport infrastructure projects under public-private partnerships, invest in industrial parks and further invest in new urban areas in major cities.
