VinFast withdraws proposed stock offering, reaffirms use of merger to raise funds

SANFORD – VinFast has formally withdrawn its announced plans for an initial public offering of shares in the U.S. and has reaffirmed its commitment to a merger which would take the Vietnam-based company public via a merger.

In a letter to the Securities and Exchange Commission dated May 30, VinFast “hereby requests that the Registration Statement on Form F-1 (File No. 333-268684), initially filed with the Securities and Exchange Commission (the “Commission”) on December 6, 2022 (the “Registration Statement”) and all exhibits thereto, be withdrawn effective as of the date hereof or at the earliest practicable date hereafter.”

VinFast’s recently announced plans to merge with New York Stock Exchange listed Black Spade Acquisition under a so-called SPAC agreement.

The company anticipates raising more than $20 billion through the SPAC, with capital expected to be used to pay for construction of its production plan planned in Chatham County. The company expects to hire more than 7,000 people and invest some $2 billion in the first phase of construction at the plant as well as battery production facilities.

However VinFast noted the SPAC has yet to receive SEC approval – what it calls “declared effective” – for that deal.

“The Company is seeking withdrawal of the Registration Statement because it has entered into a business combination agreement with Black Spade Acquisition Co and intends to file a new registration statement on Form F-4 in connection with the proposed business combination,” the VinFast letter said. “The Registration Statement has not been declared effective by the Commission and no securities have been issued or sold under the Registration Statement.”

VinFast’s road to production and sales in the U.S. has not been a smooth one, from a recall of its first 999 vehicles sent to the U.S. to negative reviews of its vehicles.