Of the total capital, the FTSE-listed VinaCapital will invest $17 million through its Vietnam Opportunity Fund (VOF) for an undisclosed stake and receive two seats on Ngoc Nghia’s board, the fund said in a recent release.

Ngoc Nghia will use the funds to expand its manufacturing capabilities and market penetration, particularly in northern Vietnam, said CEO La Bui Hong Ngoc.

The firm has the largest plastic packaging production capacity in Vietnam, with an annual output of 3.7 billion preforms, bottles and closures manufactured per year at three production sites, according to VinaCapital.

Based in Ho Chi Minh City, the company’s core business is manufacturing PET (polyethylene terephthalate) packaging, a recyclable, lightweight, resealable and shatter-resistant plastic used by many manufacturers of food and beverage as well as home and personal care products.

Revenue from this business has grown at a compound annual rate of 15.3 percent between 2016 and 2018, and in 2019 it expected to deliver revenue of $74m, VinaCapital said.

It added that dynamic growth in the consumer goods sector as well as Vietnam's growing population with rapid urbanization and increasing household spending have been the main drivers for the PET packaging segment’s 15.9 percent compound annual growth rate (CAGR) during 2010-2017.

"Ngoc Nghia serves some of the sectors that are benefitting from Vietnam’s strong domestic consumption story," said VOF managing director Andy Ho.

Founded in 1993, the firm has been supplying its products to a range of leading international and domestic clients like Unilever, Coca-Cola, Suntory PepsiCo and Vinamilk.