ANNOUNCEMENT OF STRATEGIC ALLIANCE

	Tokyo, Singapore and Ho Chi Minh City, 8 May 2020

ANNOUNCEMENT OF STRATEGIC ALLIANCE

Taihei Engineering Co., Ltd. (“TEC”), wholly owned subsidiary TAIHEI ENGINEERING SINGAPORE, PTE. LTD. (TESG) and Duc Duong Trading - Engineering Joint Stock Company (“DDC”) is pleased to announce that TESG has completed the acquisition of a majority (65%) of the shares from the current shareholders of DDC on 27 April 2020, Ho Chi Minh City.

The acquisition strengthens TESG's presence and market share in the Vietnam construction market as well as showing its confidence in the long-term growth potential of Vietnam. TESG looks forward to bringing its in-depth experience and knowledge in construction field to further bolster DDCs capabilities.

Mr. Mita Yasutaka, Representative Director of TESG, said: TESG was established in 2012 as a pillar of TEC's overseas strategy. We have already established subsidiaries in Myanmar in 2013 and TESG in Cambodia in 2017, making Vietnam the third overseas base. By forming alliances with DDC in Vietnam, which has grown rapidly in recent years, we will leverage synergies with existing overseas subsidiaries and the know-how we have cultivated in Japan to further expand our overseas business in Vietnam and elsewhere.

"We will also strive to contribute to overseas markets with the goal of providing services of Japanese quality at local prices," he said.
Mr. Hoang Duc Thoai, DDC General Director, added: "Vietnam is one of the fastest growing market in Asia and we are excited to have Taihei as our strategic business partner. By combining Taihei’s international management experience and DDC’s local insights, the cooperation will surely support DDC in continuous expanding the market and delivering quality services in Mechanical-Electrical-Fire Protection & process fields (MEP) to our clients”.

About DDC:

Founded in 2005 in Ho Chi Minh City, DDC is a design and build contractor for mechanical, electrical, fire protection and process piping (MEP) system for industrial projects as well as commercial and civil works.
Comprising of an experienced team of engineers, technicians and skilled workers and being able to apply advanced technology, DDC is able to deliver quality services with cost saving to local market demands as well as to the demands of foreign customers.

 DDC overview

TESG overview

TESG parent company