Amata VN upbeat on land sales this year

SET-listed Amata VN Plc’s volume of industrial developed land sales in Vietnam has reached nine hectares in 2017, almost half the year-end target of 20 hectares, says president and chief executive Somhatai Panichewa.

The subsidiary of SET-listed Amata Corporation, Thailand’s biggest industrial estate developer, was granted a licence by the Vietnamese government to develop an industrial estate in Halong in the north as well as others in Long Thanh and Bien Hoa in the south.

Besides industrial estates, Amata VN plans to develop land for commercial and residential projects, which are due to be completed by 2021.

Ms Somhathai said most of its customers in Vietnam are Japanese companies invested in the electrical parts, electronics and garment sectors.

This year the company expects more investors in the sectors of consumer goods, steel and metals, chemicals, plastic and rubber to invest in Amata VN’s industrial estates as those sectors are growing substantially in Vietnam.

“Amata City Bien Hoa is located near Ho Chi Minh City, which has a major port that attracts more investors,” Ms Somhathai said. “We expect the volume of land sales in 2017 to reach 20 hectares thanks to Vietnam’s rapid economic growth.”

Total revenue this year is expected to rise by 28% from last year’s 906 million baht.

“Some industries are growing very quickly in Vietnam and we expect many companies to start expanding,” Ms Somhathai said.

She said the company set aside 3 billion baht for its investment budget in 2017. Of the total, around 20% is allocated for Amata City Bien Hoa, 70% is for Amata City Long Thanh and Amata Township Long Thanh in Dong Nai province, and 10% is for Amata City Halong.

Amata VN is a holding company involved in industrial estates and related businesses in Vietnam. It has worked in Vietnam for nearly 20 years and was the first foreign-owned company to invest in industrial estates there.

The company plans to invest in Myanmar because of industrial estate opportunities afforded by the massive Dawei infrastructure project.