CVCI achieves 2x return on Chinfon Vietnam exit

"CVCI has spent six to nine months to search for an exit until it finally divested the company six months ago to a strategic investor," a source familiar with the transaction told AVCJ. "The exit has been the largest exit in Vietnam so far."

Chinfon, which CVCI invested in in 2008, is one of the largest cement manufacturers in Vietnam, with clinker and cement production capacity of 3.2 million tons and 4.2 million tons, respectively.

In 2007, CVCI launched the Citigroup Venture Capital International Growth Partnership II to invest in companies across global emerging markets. The fund held a final close at $4.3 billion in August 2008.

The fund's latest investments include channeling $137.75 million into the UK subsidiary of Indian travel operator Cox & Kings last month. In April, CVCI also acquired a significant minority stake in Wuttisak Clinic, a leading skincare treatment clinic chain operator in Thailand, alongside its co-investor, Thai Strategic Capital Management.

"Around 75% of the fund is invested and there is another $1 billion to spend," added the source. "CVCI will likely to focus on investing rather than raising a new fund for the time being."

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• Topics
• Exits
• Southeast Asia
• Industrials
• Vietnam
• Exit
• Citi Venture Capital International (CVCI)