Ho Chi Minh City (VNA) – Vietnam’s merger and acquisition (M&A) market is entering a more selective phase as investors increasingly prioritise businesses with strong fundamentals, established brands and sustainable long-term growth potential.

At the same time, rising investment in artificial intelligence (AI) infrastructure and a sharp increase in foreign equity investments are expected to provide fresh momentum for the market, in line with the innovation-driven vision set out in the Politburo’s Resolution No. 57-NQ/TW on breakthoughs in science and technology development, innovation, and national digital transformation.

According to PwC’s Global M&A Industry Trends: 2026 Mid-Year Outlook, the total value of global M&A transactions this year could reach approximately 4 trillion USD, driven by large-scale deals and growing investment in AI-related infrastructure.

Against this backdrop, Vietnam continues to be regarded as an attractive destination for M&A capital. However, the defining trend is no longer market size but a shift in investor preferences.

PwC noted that investors are placing greater emphasis on corporate quality, strategic fit and long-term value creation rather than pursuing acquisitions solely for scale. Investments in Vietnamese companies such as Imexpharm, Bibica and Thien Long illustrate the continued attractiveness of established Vietnamese platforms and brands. Beyond traditional sectors like pharmaceuticals and consumer goods, capital is increasingly flowing into infrastructure, logistics, energy transition and high-tech manufacturing.

Tiong Hooi Ong, Partner, PwC Vietnam, commented: “The next phase of Vietnam's M&A market may see investors becoming more selective, focusing on assets aligned with long-term themes such as consumer demand, digital transformation, infrastructure and sustainability. This is a sign of deepening investor confidence in Vietnam, not just as a growth market, but as a place where multiple investment models and value creation strategies can succeed.”

AI is also reshaping investment strategies and capital allocation. PwC said that alongside traditional acquisitions, investment is increasingly directed towards data centres, cloud computing, digital infrastructure and AI developers. Investors are also adopting more flexible approaches, including minority equity investments, joint ventures and strategic partnerships, instead of focusing solely on outright acquisitions.

This trend is becoming increasingly evident in Vietnam as projects involving AI infrastructure, cloud computing and data centres gather pace to meet growing digital transformation demand.

According to Ong, the key question is no longer whether AI will transform investment priorities, but how rapidly that transformation will occur. “As capital increasingly flows towards AI-enabled businesses and the infrastructure that supports them, organisations will need to make deliberate choices about where to invest, partner and compete. In this environment, disciplined capital allocation may prove just as important as deal execution itself,” he said.

Foreign investment flows are also creating favourable conditions for M&A activity. Vietnam attracted 34.65 billion USD in registered foreign direct investment (FDI) during the first half of 2026, up 61% year-on-year, while disbursed FDI reached 13.03 billion USD, the highest level recorded in five years.

Vu Binh Minh from HSBC Vietnam stressed that while registered capital reflects investor expectations, disbursed capital is the clearest indicator of confidence, demonstrating that Vietnam continues to maintain its appeal to international investors despite global uncertainties.

Particularly noteworthy was the nearly 90% increase in foreign capital contributions and share acquisitions, signalling that supply chain relocation to Vietnam is entering a deeper stage. Rather than merely establishing new facilities, foreign investors are increasingly acquiring existing businesses, expanding operations and leveraging available production capacity.

HSBC Vietnam described the trend as a positive sign, indicating not only sustained confidence in Vietnam’s medium- and long-term prospects but also a more sophisticated FDI structure. If effectively absorbed, these capital inflows could play a significant role in enhancing the country's manufacturing capabilities and improving the quality of economic growth in the years ahead./.