TD Mobile of Japan has acquired 30 percent of the shares of Vietnamese phone retailer Vien Thong A (VTA), according to media reports.
The exact amount of the deal has not been made public.
TD Mobile is a joint venture between Toyota Tsusho Corp., one of the largest trading companies in Japan, and Denso, a manufacturer of automotive components. The company operates about 300 cell-phone retail shops in Japan.
This marks the first time a Japanese corporation has made a capital investment in a Vietnamese cell-phone retailer.
TD Mobile made the move because the cell-phone penetration rate in Vietnam is less than 50 percent, which is lower than in other ASEAN nations, including Indonesia, Malaysia, the Philippines, and Singapore, according to a report by Nikkan Kogyo Shimbun newspaper.
The company will assign two boards of directors to VTA and have it offer business applications and services to Japanese corporations venturing into the Vietnamese market, the report said.
VTA hoped the deal would help the two sides establish a long-term relationship, Saigon Tiep Thi newspaper quoted company director Hoang Ngoc Vy as saying.
She expected TD Mobile will help improve VTA's competitiveness, with its strong experience of human resources management and customer group building, according to the report.
VTA expects an estimated turnover of VND2 trillion this year.