Warburg Pincus And Becamex Launch New JV On Industrial and Logistics Properties

Warburg Pincus, a global private equity firm based in New York City, and Becamex IDC Corp, a real estate and infrastructure developer in Vietnam, have announced their new joint venture, the BW Industrial Joint Stock Company (BWID), to focus on the development of institutional-grade industrial and logistics properties across Vietnam.

BWID aims to be a fully integrated platform to capture the robust demand for modern logistics warehouses, build-to-suit and ready-built factories and other industrial facilities with a focus on the key economic and industrial zones driving growth in Vietnam.

Established in 1976, Becamex specializes in developing large-scale industrial townships with one of the largest industrial landbanks in key markets across Vietnam. The company has also formed a number of partnerships with foreign players such as TOKYU Corporation and Sembcorp.

"With a proven track record as the leading private equity investor in Vietnam as well as in building the top real estate and logistics platforms across Asia, we are delighted to partner with such an esteemed firm like Warburg Pincus.  We believe that the recent government policies (including significant trade deals) and a strong focus on infrastructure have transformed Vietnaminto one of the world's most attractive investment destinations which in turn will continue to create outsized demand for modern institutional-grade industrial and logistics properties and services," Nguyen Van Hung, Chairman of Becamex, stated.

Jeffrey Perlman, Managing Director and Head of Southeast Asia of Warburg Pincus, said: "With the transformative shift of the manufacturing base from markets like China to Vietnam as well as with the rapid rise of domestic consumption, the logistics and industrial real estate market in Vietnam is in the "early innings" and at an inflection point for outsized growth.  We are excited to partner with Becamex to leverage their unrivaled local sector knowledge and experience to build the leading platform in Vietnam." 

Warburg Pincus started investing in Southeast Asia in 2013 with Vietnam as its maiden market. Since then, Warburg Pincus has committed over $1 billion in the region, including in Vincom Retail, Lodgis Hospitality, ARA Asset Management, Go-Jek, NWP, Trax, and others.