VNG Files to Become First Vietnamese Tech Firm Listed in US

Vietnamese internet startup VNG plans to go public in the United States.

The company made its intentions known in a Wednesday (Aug. 23) filing with the Securities and Exchange Commission (SEC).

VNG’s filing for an initial public offering (IPO) represents the first tech company from Vietnam to seek a listing in New York, Bloomberg reported Wednesday. A separate report by Reuters, citing sources familiar with the matter, said the company aims to raise $150 million from the listing.

VNG spoke of its ambitions for itself and its home country in a letter included with its SEC filing.

“In the coming decades, Vietnam will transform into a developed nation with three key advantages: a dynamic, industrious young population; an open and connected economy fostering global trade and partnerships; and a country strategically focused on technology and science,” per the letter.

“We will continue to innovate and build technology products for Vietnam,” the letter added.

The company said in the letter it plans to expand its ZaloPay platform to “steer Vietnam toward a cashless future and bring financial products to everyone,” while also researching and building new artificial intelligence (AI) products.

The planned listing is happening as the startup world is dealing with a historic slump in venture funding, threatening hundreds of previously funded companies.

Investors have pulled back on funding for startups, leading to a 49% drop in tech startup funding in the year ended June 30. The decline has resulted in a steady stream of venture-backed companies being forced to close or downsize in the past few months.

Payments processor Plastiq filed for bankruptcy in May after a failed special purpose acquisition company (SPAC) merger, biotechnology startup Goldfinch Bio shut down earlier this year after it was unable to raise more money, and sports platform Buzzer shuttered in June.

Still, recent weeks have seen several companies go public following a dearth of IPOs. For example, last week saw reports that online grocery marketplace Instacart was preparing for its IPO, which could come next month.

The firm was expected to make its IPO plans public by filing with the SEC this week, Bloomberg reported, citing unnamed sources. Instacart declined to comment when reached by PYMNTS.