Private equity optimism falls

The retail and food and beverages (F B) sectors continued to be the two most attractive sectors for PE transactions. — Photo enternews.vn

HCM CITY — A survey of the private-equity sector in July by consulting firm Grant Thornton found that  七 二 per cent of respondents (down  一 四 percentage points from six months ago) anticipated higher level of investment activities in Việt Nam in the next  一 二 months.

The number of respondents participating in the bi-annual survey, all decision makers in the PE sector in and outside Việt Nam, was not disclosed.

With respect to sources of transactions, it is notable that private/family-owned entities have come back to be the most significant source of deals, as  三 三 per cent of the participants agreed.

The retail and food and beverages (F B) sectors continued to be the two most attractive sectors for PE transactions.

But PE investors are increasingly interested in the education sector, with its rating of "very attractive"大众increasing by  一 六 percentage points from the previous survey.

The survey emphasised that “economic growth” and “Sector specific opportunities” continued to be critical to deal success.

"Differences in valuation expectations"大众and “non-disclosure of material items at the appropriate time” topped the list of factors contributing to deal failure.

PE investors seeing Việt Nam as “attractive” and “more attractive” accounted for the largest proportion,  六 九 per cent, an increase of  一0 percentage points from H 二  二0 一 五. — VNS