Vietnam mall operator wants to expand to more cities

[HANOI] Vingroup JSC, Vietnam's largest property developer and mall operator, will look beyond the country's two biggest cities to build shopping centres and woo the growing number of middle-class consumers.

The company, based in Hanoi, will use part of the US$200 million it raised from the sale of bonds last month to fund a seven-story mall in the tourist city of Ha Long Bay in 2014, chief executive officer Le Thi Thu Thuy said in an interview. It will also open malls in cities including Hai Phong, Can Tho, Da Nang and Binh Duong over the next few years, she said.

Vingroup, founded by billionaire chairman Pham Nhat Vuong, will compete with Korea's Lotte Group to add malls in cities other than Hanoi and Ho Chi Minh City, luring consumers in a country where more than half the population of 90 million people is below the age of 30. The companies are expanding their retail reach as per capita income in the nation is expected to double next year from its 2009 level.