Saigontourist, Van Thinh Phat team up for overseas hotel

Saigontourist Holding Company and Van Thinh Phat Corporation have established Saigon An Phat Joint-Stock Company which will acquire and operate a hotel in San Francisco in the U.S., a Saigontourist leader said.
Tran Hung Viet, deputy general director of Saigontourist, told the Daily on Wednesday that the two partners had agreed to set up the joint venture on a 50-50 footing. Apart from paid-in capital from the two partners, Saigon An Phat will seek capital from banks for the acquisition.
“We are waiting for the overseas investment certificate to start the business transaction,” he said on the sidelines of a meeting held by Saigontourist to honor its best staff in the 2005-2009 period at the five-star Rex Hotel in HCMC.
He said Saigon An Phat would buy a four-star hotel in a prime location in San Francisco. Viet did not elaborate on other details such as the hotel price and the current owner because the parties concerned need further discussions for the business transaction worth millions of U.S. dollars.
Saigontourist in the middle of last year disclosed a plan to buy hotels in some foreign countries, including the U.S., Japan, and Germany, with an aim to develop the company’s brand abroad, expand its business and bring more international travelers to Vietnam.
Viet said the plan remained unchanged. Saigontourist has surveyed some other hotels in Germany, Japan and Hong Kong, but the State-run corporation is eyeing the hotel in the U.S. as the top priority.
“We will plan next moves after finishing the business transaction in the U.S. Saigon An Phat will be responsible for upcoming business plans,” he said.
The country’s leading hospitality company has reported 2009 revenue of over VND8.2 trillion, up 6.9% year-on-year, with a gross profit of over VND2.6 trillion, up 4.1% over 2008. The company expects the number of guests and revenue this year to increase by some 10%.
Regarding the company’s plans for stronger development, Viet said Saigontourist is focusing more on developing human resources by training and re-training staff at home and send them overseas like Australia, Malaysia, and Singapore.
“We are spending more on staff training for the travel sector this year. We have plans to spend around VND3 billion on human resource development for the sector this year.”
Viet said Saigontourist was about to send 25 managerial executives in travel companies and tour desks of its hotels to Canada this year for training. The key persons will have good chances to practice in Canadian travel companies.
In the meeting on Wednesday, several staff of Saigontourist received labor medals, certificates of merit from the State, the HCMC government and the company.