DealStreetAsia reported on November 18 that the Chinese commercial powerhouse Alibaba has finalized an agreement to purchase a minority share in the Vietnamese beauty and cosmetics retailer Hasaki. Supported by the Hong Kong-based venture capital firm Excelsior Capital Asia, Hasaki has shown strong performance and expansion despite economic challenges.
Hiep Dinh, the founder and CEO of Hasaki, expressed excitement over the partnership with Alibaba International, highlighting the investment as a validation of Hasaki’s business strength and market strategy, especially in tough economic times. Koru Capital, based in Ho Chi Minh City, provided financial advisory services to Hasaki for the transaction.
Since its inception in 2016, Hasaki has rapidly grown, now operating over 140 stores throughout Vietnam and maintaining a solid online presence through its website, mobile app, and e-commerce platform. With a community of 3.8 million members and around 750,000 monthly active users, Hasaki is on track to secure at least 35% of Vietnam’s domestic market share by 2027.
Hasaki underscored the dynamic expansion of Vietnam’s beauty and personal care industry, which is currently valued at $2.2 billion and enjoys a 7% annual growth rate. The market is experiencing a shift as modern retail entities are gradually supplanting traditional solo vendors and smaller shops.
In recent developments within Vietnam’s beauty sector, Mekong Capital invested in Beauty Box in 2021, and this followed the market entry of Social Bella, supported by L Catterton, in the previous year.
AIDC, a division that spun off from Alibaba Group during a corporate restructure in March, is the new stakeholder in Hasaki. AIDC oversees Alibaba.com, China’s most extensive international online wholesale marketplace, and owns a portfolio of international retail ventures, including Lazada, AliExpress, Trendyol, and Daraz. AIDC’s third-quarter financial report for 2023 showed a significant 53% surge in revenue year-over-year, totaling $3.36 billion.
An Alibaba representative stated that the company foresees substantial growth opportunities in international markets in the coming years and plans to amplify investments in regions with high potential, seizing promising opportunities.
In addition to Hasaki, Alibaba has made significant investments in Vietnam, including The CrownX, Masan Group’s integrated retail platform. In 2021, Alibaba and BPEA EQT led a group of investors to purchase a 5.5% stake in The CrownX, a deal worth $400 million.
