WHAT IS OUR COMPANY ABOUT?
We are a diversified holding corporation that seeks to be active in high-growth, emerging, and technology-driven markets. Our core strengths are in technology development and investment. We plan to grow through M&A by looking for businesses that have start-able products and partner with them, starting a joint-venture with an equity stake or making them a wholly owned subsidiary. We focus mainly on creating long-term sustainable value and diversification for our businesses and shareholders. We operate our businesses in an integrated and complementary ecosystem manner which we believe distinguishes us from other companies.
WHAT MAKES US UNIQUE?
Being a publicly traded company, we offer liquidity for both entrepreneurs and investors. Our company was founded with a clear mission - to make it easier for entrepreneurs to raise capital and be part of public company and for smaller investors to penetrate opportunities in emerging companies/markets without being locked in for several years (e.g. private equity funds). For most company founders, no matter how successful they are, fundraising tends to be the worst and most distracting part of sustaining and growing a company. Being part of public company is important because it has the potential to allow founders to cash out on their initial investment, spend less time fundraising and more time building their businesses, which is what really matters. And for investors, historically investing in startups or small companies has been reserved only for venture capitalists and highly-connected angel investors. Through Vemanti, anyone can now access investment opportunities in startups or small companies through our portfolio and with a viable exit plan. Ultimately, our goal is to be a multinational holding and investment company focused on the emerging markets of Vietnam and other ASEAN countries where the economic force is projected to be a strong driver of global growth for the next 50 years. Our Founder/CEO has more than 12 years of managing experience in Vietnam on strategy and execution across networking technologies, software development, security, SaaS, mobile banking & payments, telecommunications, etc.
Because it’s big, fast-growing, and underserved by seed stage venture capital firms. Vietnam has more people than California, New York, and Florida combined, and more than 40 million of them are on the internet.
Vietnam ranks among the world’s fastest-growing economies as its exports remained resilient to a global trade slowdown that’s hurting countries like China. Multinational companies setting up plants in the country are transforming the nation into a manufacturing hub for electronics goods, including smartphones. The Asian Development Bank forecast Vietnam’s economic growth at 6.3% in 2017.
With political stability, low valuations, low costs, and increasing flows of capital, the list of Vietnam’s positives is really quite impressive.
Here are just a few for starters:
- A low level of capital stock so every dollar of investment yields big jumps in productivity. Many of Vietnam’s medium-and small-sized companies are a terrific value. Almost half of Vietnamese public companies are trading at less than half their price to book ratio, meaning that the price of their shares is less than the value of their assets.
- Low valuations and rising, robust foreign investment to drive its industry and stock market forward. During the last three years, there has been more foreign direct investment flowing into Southeast Asia than into China – $60 billion of direct investment has flowed to Vietnam over the last five years with $14.5 billion in 2015. In 2016, foreign direct investment surged 85% year over year.
- Attractive demographics to fuel consumption. Vietnam’s population of 98 million is at a demographic sweet spot with an average age of just 27 years and 70% of the population under the age of 35. Wealth has risen at an annual compounded rate of 13.5% over the last decade, meaning Vietnam’s consumer and investor class is expanding every year.
- A talented, well-educated, ambitious population with great faith in their future. The literacy rate is 94%, with primary education improving every year. And its growing middle class is supportive of multinational and domestic consumer discretionary companies such as convenience stores and fast food outlets.
- Low real wages for a decisive competitive advantage. A wave of capital is washing over Vietnam, driven by many factors including wage rates significantly lower than in China. Companies in South Korea, Japan, China, America, and Europe, and their governments, are falling over each other to establish manufacturing hubs and seek better relations with Vietnam.
catchup potential with neighboring countries. Vietnam has a long way to
go before it catches up with neighbors in terms of urbanization, per capita
income, and the size of its stock market and manufacturing base. About 70% of
Vietnamese still live in rural areas and remain involved in agriculture so,
just like during China’s rise, urbanization will supercharge growth and
incomes. Unlike its emerging market cousins, Vietnam hasn't suffered from
slowing growth. The country's GDP expanded by approximately 6.21% per
cent last year, defying a regional slowdown to remain one of the world’s best
performers as manufacturing surged.
WHY INVEST WITH US?
While Vietnam's top down, economic picture is good, the trick is to find good opportunities to invest at a ground level. Unfortunately, most advisors and gurus send investors interested in Vietnam to country ETFs. This isn’t the best choice, as the ETF includes sizable exposure to some of Vietnam’s largest, inefficient state-owned companies that also happen to trade at pretty high multiples. Our investment strategy for Vietnam will be bottom up rather than top down. This will help us avoid the big state-owned banks and conglomerates, and capture the vitality of Vietnam’s private enterprises. We strongly believe the winning strategy is a diversified portfolio of early stage private technology companies that are growing fast and at very attractive valuations. Unlike neighboring countries like Malaysia and Singapore where there are more series A-B startups, Vietnam is at the very early stage of the tech boom. Most of the companies are pre-seed or seed stage companies, meaning we can get in for "cheap”. Our team understands Vietnam very well and knows what it takes to be successful. We plan to become an active US-based seed stage venture capital investment company in Vietnam. We are vertical agnostic and believe there are many near-term investment opportunities in Consumer Tech, Femtech, Fintech, SaaS, and E-Commerce, but ultimately we are just simply returns focused.
WHAT ARE OUR PRIORITIES?
- Grow our business with a focus on our core strengths.
- Identify and deliver new growth via expansion into new segments and markets with financial and strategic M&A.
- Hold ourselves to high standards for quality, compliance, and productivity.
- Develop the best team and create a culture and organization where everyone feels valued, motivated and empowered.
WHAT DEFINES US?
- We believe our purpose is to be the very best partners for entrepreneurs. We believe entrepreneurs should demand that their partners do more than just give their time, make valuable connections, and offer strategic insight. Those things – while important – are just the start.
- We believe that being a good partner is key to our success. True partnership means being honest about present threats, and having the mutual trust to navigate those treacherous waters together. It means being accountable to each other and having a willingness to make difficult choices. It’s earning the trust to have the hard conversations about building teams and inventing product and unearthing new market opportunities, and working through these very real challenges together. It means being open about mutual interests, as well as being upfront about where those interests diverge. These beliefs lead us to do the necessary work to be the best partners we can be. We want to sweat through the night, side-by-side with a company founder, helping to carefully construct a product launch. We like to incubate small teams with big ideas that later can potential grow to become powerhouses.
- We see it as our job to make it possible for creators to create and for innovators to innovate. For companies in our portfolio, we want to help build out the core management, design and product teams. This is because we believe that in order to create maximum value for the companies we have, we need to be generous with our time.
- We treat each company in our portfolio with the same importance. We understand that while we may have different portfolio companies, each individual entrepreneur will have their whole lives riding on their one company. We go much further to recognize this conflict and do everything we can to bias on the side of the entrepreneur. We believe entrepreneurs deserve this commitment.
- We run things a little bit differently. We make succession planning a priority for the company, and invest heavily in the development of our newer team members. We manage firm transitions with integrity, because we understand that how we treat our own team is a direct reflection of how we will treat the entrepreneurs we back.