SK Group, Republic of Korea’s conglomerate, is said to purchase Vietnam-based Vingroup stocks for US$1 billion, according to Vietnamplus. Vingroup operates in the fields of energy, telecommunication, high-tech components, logistics and services.

The transaction could be made as early as April.

Prior to this news, Vingroup reportedly asked its shareholders to issue 250 million shares to around five foreign institutional investors so it can raise at least VND25 trillion (US$1.07 billion) privately.

The raised capital would be used for developing technological and industrial sub-units worth VND6 trillion (US$259 million), paying a total of VND10 trillion (US$431 million) loans and interests, and providing fund for the parent firm and its subsidiaries worth VND9 trillion (US$388 million).

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The largest Vietnamese listed company by market capitalisation said that it has reached VND373.42 trillion (USD16 billion) after gaining 1.4 percent at VND118,600 VND (US$5.09) per share to end March 22

SK Group is no stranger to closing deals with Vietnamese private equity consumers businesses, having bought 110 million shares from Masan Group for VND11 trillion (US$470 million), making it the largest foreign shareholder with a 9.5 percent stake.