Vietnamese EV maker VinFast debuts on the Nasdaq - PingWest

Vietnamese EV maker VinFast debuts on the Nasdaq

Vietnamese EV maker VinFast debuts on the Nasdaq

August 16, 2023 1:49 am

VinFast, a Vietnamese electric vehicle (EV) manufacturer, made its Nasdaq debut on Tuesday after merging with the US-listed special purpose acquisition company (SPAC) Black Spade Acquisition.

SPACs are shell companies that raise money through an IPO with the sole purpose of acquiring another company.

The merger with Black Spade valued VinFast at an impressive $23 billion, according to a June report filed with the US Securities and Exchange Commission.

Founded in 2017, VinFast operates as the automotive subsidiary of the renowned Vietnamese conglomerate, Vingroup. Although young and relatively unknown, the company has been targeting the North American market since its inception.

It has an advantage in pricing when compared to renowned EV makers. VinFast's five-seat VF 8 starts at $46,000, while the basic Tesla Model Y with five seats starts at $47,740.

To date, the company has shipped approximately 2,100 of its EVs to the US and an additional 800 vehicles to Canada.

In a bid to expand its presence in the world's largest consumer market, VinFast is in the process of setting up a manufacturing facility in North Carolina. Spanning 1,800 acres, this facility anticipates an annual production capacity of 150,000 vehicles, with operations commencing in 2025.

Beyond vehicle production, the plant's construction is set to create an estimated 7,500 jobs and generate billions of dollars in revenue and tax contribution.

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