During the IPO, Nova Consumer will offer 10.9 million newly issued shares to the public, raising at least VND 474 billion to conduct M&A transactions in the consumer goods sector.

Another pillar of NovaGroup is preparing to go public

After receiving permission from the Securities Commission, Nova Consumer – renamed from Anova Corporation – is conducting an initial public offering and will list on HoSE in early 2022.

The IPO marks a turning point for Nova Consumer as it will not only provide agricultural products and veterinary medicine as before but will also become a leading unit in the field of manufacturing and distributing consumer goods.

Nova Consumer is currently one of the pillars of NovaGroup, along with Novaland, Nova Service, and 5 new members, creating an ecosystem. In particular, Novaland focuses on developing urban real estate, tourism real estate, and industrial real estate, with a total land bank of nearly 10,600 hectares accumulated and under development by the end of 2021. With Nova Service, between 2021 and 2026, there will be a system of over 10,000 hotel rooms, 500 restaurants, and a widespread system of supermarkets and retail outlets across provinces, attracting over 30 million customers annually.

The Anova brand, with over 30 years of providing quality products for both domestic and export markets, is another significant advantage that Nova Consumer can leverage to bring products to consumers. Additionally, the logistics system, warehouses, and technology from other members contribute significantly to enhancing Nova Consumer's operational efficiency.

M&A to enter the consumer goods sector

In the IPO, Nova Consumer will offer 10.9 million newly issued shares to the public, raising at least VND 474 billion to carry out M&A transactions in the food manufacturing sector.

The M&A transactions post-IPO will help the company expand its distribution network throughout Vietnam, aiming to increase the number of sales points to at least 250,000 between 2021 and 2025.

From 2025, the company will vigorously develop O2O (Online to Offline) distribution platforms, helping to better connect distributors and stores with Nova Consumer, creating direct links with 250,000 sales points and indirectly over 400,000 sales points.

Along with the goal of increasing the number of sales points, Nova Consumer targets an average growth rate of 50% per year to achieve revenue of over USD 1 billion after five years of entering the consumer goods sector. Furthermore, the company will emphasize product research and development and M&A to quickly diversify its product portfolio, focusing on three main sectors: Food, Beverages, and Nutrition, with dynamic and modern beverage products being a focal point.

Nova Consumer will produce traceable agricultural and livestock products from farms in the Southern and Central Highlands regions. Tea and coffee grown in the Central Highlands, particularly at the Cau Dat farm, will be processed by Nova Consumer into bottled drinks, instant drinks, or other consumer products; milk from the farm in Binh Duong will be developed into modern bottled fruit milk products aimed at consumers.

Nova Consumer will produce agricultural and livestock products from farms in the Southern and Central Highlands regions (Photo of a livestock farm belonging to Nova Consumer currently located in Ham Tan, Binh Thuan)

Aiming for a billion-dollar capitalization target

Leading stocks in the consumer goods sector are always highly valued, but there is currently a lack of attractive options for investors on the stock exchange.

Therefore, companies with moderate scale but high growth ambitions like Nova Consumer will certainly attract the attention of investors, especially large funds. Based on the IPO price, Nova Consumer's current valuation is around VND5,200 billion, a fairly attractive level in the market.

With the above development strategy, Nova Consumer aims to increase its profit in the 2022-2026 period by 4-5 times compared to VND300 billion in 2021, reaching VND1,300 to VND1,500 billion. With expected profits and growth potential along with a solid management system, Nova Consumer can reach the target of capitalization exceeding 1 billion USD in the next three years, 4 times higher than the present.

With financial potential and a team with rich M&A experience, Nova Consumer's ambitious goals can be achieved sooner.

It is known that Nova Consumer officially offered 10.9 million shares for the first time to the public, with a minimum offering price of 43,462 VND/share. Time to register to buy and deposit: From February 7 to February 28, 2022; Time to announce the results of the stock purchase: Expected on March 4, 2022.

The "Seminar introducing the potential and investment opportunities in Nova Consumer shares" will be broadcast live at 3:30 p.m. on February 22, 2022 (Tuesday). Dear Investors, please attend online and ask questions to Nova Consumer's management via the following links: (1) Directly on Nova Consumer's official channel: Here; or (2) Directly on CafeF's official channel: Here.