Vietnam’s pharma sector heats up with major M&A deals

PwC Vietnam forecasts a vibrant M&A market in Vietnam’s healthcare sector in 2025, driven by rising demand for high-quality medical services and a growing middle class. Pharmaceutical companies, private hospitals, and specialised medical facilities, particularly in ophthalmology and oncology, are predicted to be key targets for M&A.

Pharmaceutical production at a company in Vietnam. (Photo: VNA)
Pharmaceutical production at a company in Vietnam. (Photo: VNA)

Hanoi (VNA) – The entry of foreign strategic investors with strong financial capacity and technological advantages has helped Vietnamese pharmaceutical companies significantly enhance their competitiveness and expand export markets.

Vibrant market

PwC’s Global M&A Industry Trends: 2025 Outlook reveals that CEOs around the world are optimistic about mergers and acquisitions (M&A) in 2025. Accordingly, 81% of CEOs who have completed at least one major M&A deal in the past three years, plan to pursue one or more deals in the next three years. Notably, the healthcare and pharmaceutical sectors are actively engaging in M&A to accelerate business model transformation.

PwC Vietnam forecasts a vibrant M&A market in Vietnam’s healthcare sector in 2025, driven by rising demand for high-quality medical services and a growing middle class. Pharmaceutical companies, private hospitals, and specialised medical facilities, particularly in ophthalmology and oncology, are predicted to be key targets for M&A.

According to Partner and Transaction Services Leader at PwC Vietnam Ong Tiong Hooi, global M&A activity is on a strong recovery path, fueled by improving economic indicators and a surge in strategic deals.

This trend is also evident in Vietnam, with the rising number of M&A deals across sectors. Domestic enterprises are taking a more proactive role, leading high-value transactions, while foreign investors are showing renewed interest in the market, especially in the promising healthcare and education sectors.

a-t10.jpg
Drug production at Traphaco. (Photo: https://baodautu.vn)

Foreign buyers stepping up acquisitions

Vietnam’s healthcare and pharmaceutical sectors have recently seen an M&A boom, driven by several big deals. According to Kirin Capital – a long-term fundamental research-driven equity investor in Vietnam, healthcare was the most active sector for M&A in 2023, with 11 transactions totaling a disclosed value of 508 million USD. This made it rank third in M&A, following only the traditional frontrunners of finance and real estate. Most of the acquisitions were made by foreign investors.

Notable transactions included Thomson Medical Group’s acquisition of FV Hospital and Dongwha Pharm’s purchase of a majority stake in the Trung Son pharmacy chain.

In March, Mekong Enterprise Fund IV (MEF IV), managed by Mekong Capital, made its first foray into private healthcare by investing in TNH Hospital Group JSC, one of the leading private hospital systems in Vietnam’s northern midland and mountainous region. Chris Freund, Founder and CEO of Mekong Capital, shared that the firm had spent over a decade searching for investment opportunities in potential hospitals and that TNH was ultimately chosen for its visionary leadership.

TNH has recently attracted significant foreign investment. Singapore-based fund Blooming Earth acquired over 6.72 million TNH shares, raising its ownership to 13.74%. Earlier, Luxembourg-based Access S.A., SICAV-SIF - Asia Top Picks also purchased over 1.6 million TNH shares, increasing its stake to 8.05%.

Binh Dinh Pharmaceutical and Medical Equipment JSC has also seen growing interest from foreign investors. In mid-December 2024, KWE Beteiligungen AG of Swiss purchased an additional 79,500 DBD shares, raising its stake from 9.93% to 10.01%, making it the second-largest shareholder in the Vietnamese firm. The fund is also a major shareholder in TNH, holding a 10.5% stake.

Leading pharmaceutical producers such as Hau Giang Pharma, Domesco, Traphaco, and Pymepharco all have foreign strategic shareholders. Some have even gained controlling stakes of over 51%, with a few completing full acquisitions./.

VNA

See more

Workers produce textile and garment for export. (Illustrative photo: VNA)

Israeli firms step up sourcing from Vietnam

The conflicts have caused serious disruptions to Israel’s external supply chains, leading to greater demand for a wide range of imported goods. As a result, Israeli enterprises are intensifying efforts to diversify sources of supply, including from Vietnam, to meet domestic consumption needs.

An overview of the seminar. (Photo: VNA)

Traceability emerges as a key to sustainable digital economy

Scandals involving counterfeit goods, unsafe food and substandard pharmaceuticals not only cause economic losses but also erode public trust. On a global scale, verification and traceability are among the top criteria that businesses must maintain to ensure credibility, enhance competitiveness and meet stringent international trade standards.

Vietnamese Ambassador to Japan Pham Quang Hieu speaks at the dialogue. (Photo: VNA)

Vietnam-Japan business dialogue boosts cooperation prospects

The dialogue offered Japanese businesses an opportunity to gain the most updated insights into Vietnam’s socio-economic landscape as well as its new policies, and to exchange views on potential future collaboration in various sectors.

By June 2025, total credit had reached over 17.2 quadrillion VND (658.43 billion USD), up 9.9% from end-2024 and 19.32% year-on-year—the highest growth rate since 2023 (Photo: VNA)

Central bank rolls out measures to support economic growth

By June 2025, Vietnam's total credit had reached over 17.2 quadrillion VND (658.43 billion USD), up 9.9% from end-2024 and 19.32% year-on-year—the highest growth rate since 2023—signalling strong recovery in manufacturing, agriculture, and supporting sectors.

UOB raises Vietnam’s GDP growth forecast to 6.9% for 2025 - Illustrative image (Photo: VNA)

UOB raises Vietnam’s GDP growth forecast to 6.9% for 2025

According to a report released by UOB's Global Economics & Market Research Unit released on July 8, Vietnam’s real GDP grew by a robust 7.96% year-on-year in the second quarter of 2025, significantly exceeding Bloomberg’s forecast of 6.85%, UOB’s projection of 6.1%, and the revised growth figure of 7.05% in the first quarter.

Vietnam Airlines JSC (HVN) receives approval from the State Securities Commission of Vietnam to issue 900 million shares at 10,000 VND apiece. (Photo: VNA)

Vietnam Airlines receives approval for major share issuance

The planned issuance is expected to raise roughly 9 trillion VND (equivalent to 344.53 million USD), providing the national carrier with additional capital to improve liquidity, reinforce its financial foundation, and advance its post-pandemic recovery and growth strategy.

Passengers board a Vietnam Airlines flight (Photo: VNA)

Vietnamese aviation industry takes off

According to the Civil Aviation Authority of Vietnam (CAAV), in the first half of 2025, Vietnam's aviation industry served 41.3 million passengers, representing a 10% increase compared to the same period in 2024. Notably, the international market accounted for 23 million passengers, up by 13%, while the domestic maintained a steady 7% growth with 18.4 million passengers.

Illustrative photo (Source: VNA)

Vietnam telecom giants step up 5G commercialisation, expansion

The country’s three major network providers – Viettel, VNPT and MobiFone – have so far deployed around 11,000 5G base stations, equivalent to 7.7% of existing 4G stations. These stations now cover all provinces and cities, reaching approximately 26% of the population.

The Thai Binh 2 Thermal Power Plant in Hung Yen province. (Photo courtesy of Petrovietnam)

Thai Binh 2 power plant beats H1 targets, braces for tough H2

According to the plant’s mid-year report, electricity output reached an estimated 3.79 billion kWh, achieving 115% of the target. Revenue was estimated at nearly 7.74 trillion VND (296.1 million USD), 13% above the plan, while post-tax profit was roughly 58 billion VND, thereby reducing planned losses by 114% (equivalent to 461 billion VND).

Vietnamese mango grows into global premium markets

Vietnamese mango grows into global premium markets

To enhance the value chain of speciality fruit commodities with its competitive advantages, Tien Giang province is operating the Hoa Loc mango production–consumption chain project for 2020-2025 with a vision towards 2030.

Prime Minister Pham Minh Chinh meets a representative of Vale, a multinational group specialising in metals, mining, and logistics, in Brazil's Rio de Janeiro city on July 7 (local time). (Photo: VNA)

PM meets Brazilian corporations in Rio de Janeiro

At these meetings, the PM highlighted Vietnam’s current landscape, key development priorities, and its favourable investment and business environment. He also underscored the strong friendship between Vietnam and Brazil, particularly following the upgrade of bilateral ties to a Strategic Partnership in November 2024.

Civil servants and citizens at a taxation office in Hanoi. (Photo: VNA)

Hanoi’s budget revenue surges in H1

The surge was largely driven by domestic revenue, which reached 373.9 trillion VND, meeting 77.5% of the yearly projection and rising 52.7% year-on-year.