VietNamNet Bridge - The images of Obama eating bun cha and drinking Habeco beer in Hanoi appeared on all local newspapers in May, when Vietnamese attention was drawn to the President’s official visit to Vietnam.

Some analysts think the Vietnamese beer market will be flooded with foreign brands that will try to buy the shares of beer makers Habeco and Sabeco after the state divests from the companies as planned.

The state plans to complete the divestment from Saigon Beer, Alcohol and Beverage JSC (Sabeco) and Hanoi Beer, Alcohol and Beverage JSC (Habeco) within 16 months.

 Recently uncovered bad management practices at Sabeco and Habeco, the two largest beer companies in Vietnam in terms of market share, show that the longer they delay becoming public companies, the more they will lag behind competitors.

Officials of the Ministry of Industry and Trade have said that the State will either own less than 50% of charter capital or withdraw all capital from two giant beverage corporations Sabeco and Habeco.

Vietnamese marketing experts commented that US President Obama gave Habevo a golden opportunity to advertise its Bia Ha Noi (Hanoi beer) brand. But Habeco still cannot take full advantage of the opportunity.

 VietNamNet Bridge – Competition is getting tougher for domestic brewers as foreign rivals are increasing their share of the country’s output.

The Ministry of Industry and Trade (MOIT) has given the nod to the deal of Carlsberg Breweries A/S Group buying another 13 percent of Habeco’s stakes.

Carlsberg, the Danish brewery, shows its determination to buy another 13 percent of stakes of Vietnamese Habeco. Sabeco has been looking for someone to become its strategic shareholder.