After joining the second richest family in Thailand, what is Nguyen Kim's fate now?

After being owned by the Thai billionaire family, Nguyen Kim is the only foreign representative competing with domestic competitors in the electronics retail segment.

Central Retail Corporation (CRC) - a member of Thailand's Central Group retail group (group of the 2nd richest family in Thailand), just held an IPO on the country's stock exchange on February 20.

According to information from CRC, on June 7, 2019, an intermediary company related to CRC purchased an additional 51% of capital at NKT New Technology and Solution Development and Investment Joint Stock Company (owner owner of Nguyen Kim supermarket chain).

After this deal, CRC increased its ownership ratio in NKT from 39.95% to 81.53%. Because NKT owns 100% of Nguyen Kim's capital, CRC naturally holds 81.53% of the shares in Vietnam 's long-standing electronics chain .

Thus, due to holding a controlling stake, Nguyen Kim's business results are included in CRC's business report .

Nguyen Kim is currently owned by the second richest family in Thailand. Photo: Nguyen Kim

CRC also said that from June 7 to September 30 (end of quarter 3/2019), NKT company brought in about 3,330 billion VND in revenue and about 43 billion VND in profit. If the results from the beginning of 2019 are consolidated, NKT company brings in about 5,252 billion VND in revenue but profit will decrease by 120 billion VND.

The merger of Nguyen Kim helped CRC's revenue scale in Vietnam increase sharply by 26%. After the first 9 months of 2019, CRC's total revenue in Vietnam reached 26.6 billion baht, equivalent to about 19.6 trillion VND. Of which, the largest contribution is the food retail segment (BigC chain, Lan Chi mart) with revenue of 22 billion baht (16.3 trillion VND), an increase of 10% over the same period.

In the fashion product line, CRC's revenue in the Vietnamese market is recorded from Robins Vietnam. Central Group currently owns two fashion shopping centers called Robins in Hanoi and City. HCM, mainly selling high-end brands, most of which are still Thai products. However, in 2019, the fashion segment showed poor performance, recording only 214 million baht (158 billion VND) in revenue, down 20%.

CRC's management believes that this acquisition will help the company better meet customer needs, and is also an opportunity to expand operations abroad.