Pharmaceutical and health insurance policies also contribute to the growth of pharmaceuticals and attract large number of investors.
Vingroup has set up Vinfa Joint Stock Company to develop Vinfa Research and Development Center in Bac Ninh. The project has an area of 10 hectares with a total investment capital of VND2,200 billion, constructed by international standards, with four subdivisions: research, production, trading and import and export of pharmaceuticals. Vinfa is expected to begin construction in the third quarter of 2018, marking the participation of Vingroup in the pharmaceutical sector.
Mobile World has officially decided to enter the pharmaceutical industry and is about to acquire a number of major retailers in Vietnam. Mobile World also plans to spend about VND500 billion to buy shares of pharmaceutical retailers and several other pharmaceutical groups before launching 500 retail stores nationwide in the future. Currently, the Mobile World is acquiring Phuc An Khang pharmaceutical retailer, which will be renamed An Khang Pharmacy.
FPT Retail has just confirmed expanding its business to pharmaceuticals (expected in 2018) with its investment in Long Chau Pharmacy (HCMC). However, investing in Long Chau Pharmacy is only a private investment of Ms. Nguyen Bach Diep who is the General director of FPT Retail and not an official operation of FPT Corporation.
Masan Group has also announced that it is researching the pharmaceutical industry, with a strategy of M & A targeting technology partners to shorten the time it takes to enter the pharmaceutical value chain.
Digiworld, in its 2018 business plan, announced that it began importing and distributing health care products, stepping into the field of drug delivery and functional foods.
Nguyen Kim Investment and Development Joint Stock Co (owned by Nguyen Kim Electric) also decided to invest VND68 billion to raise its stake in Lam Dong Pharmaceutical Joint Stock Company from 24% to 51.4% to take control and gradually expand its business to the pharmaceutical industry.
So far, there have been up to 6 large non-pharmaceutical businesses valued at $ 5 billion, namely Mobile World (MWG), FPT Retail (FRT), Digiworld (DWG), Nguyen Kim, Masan Group (MSN), Vingroup (VIC) making the pharmaceutical business market more exciting and competitive than ever. However, pharmaceutical industry still has many inadequacies, from distribution channels, drug quality, prices, monopoly... Only businesses that have strong management as well as good distribution system can invest and succeed in this field.
Learn more: Top 10 Pharmaceutical Companies In Vietnam