Mobile World Group 'shuts down' Tran Anh electronics chain.

Mobile World Group has decided to dissolve Tran Anh in order to optimize operations. It was once a well-known electronics retail chain in the northern market.

Tran Anh used to be a well-known electronics retail chain in the northern market. Photo: Tran Anh Electronics.

On August 19th, Mobile World Investment Corporation (HoSE: MWG) issued a resolution approving the decision to dissolve its subsidiary.

Accordingly, the dissolved subsidiary is Tran Anh Digital World Joint Stock Company, business registration number 0101217009, located at 1st floor, CT2 building, Eco Green City - CT4.CT9, Tay Nam Kim Giang 1 new urban area, Tan Trieu commune, Thanh Tri district, Hanoi .

The reason for the dissolution is that Mobile World Group is restructuring its subsidiaries to optimize operations.

Tran Anh Digital World is a company operating in the electronics retail sector. It was once a leading distributor of IT and electronics equipment in the Northern market. Between 2007 and 2017, the company's revenue grew continuously and reached record levels. 4,000 billion VND in 2016.

Since the end of 2018, Tran Anh has shifted its business model to a partnership model through leasing premises, offices, assets, and brand. Inventory is no longer recorded, and assets are primarily bank deposits earning annual interest.

By early 2021, Mobile World Group officially acquired Tran Anh and continuously purchased smaller shares to increase its ownership stake to over 99% of the capital. At the time of the acquisition by MWG, Tran Anh owned a system of more than 30 supermarkets and held approximately 17% of the market share in the northern region.

Despite the large scale of the supermarkets and their prime locations, Tran Anh electronics stores are not actually very efficient, and their annual profits remain low.

One year after the acquisition, Tran Anh's shares were delisted on September 14, 2018, closing at VND 34,900 per unit, equivalent to a market capitalization of approximately... 865 billion VND .

Source: https://baoquangninh.vn/the-gioi-di-dong-khai-tu-chuoi-dien-may-tran-anh-3314855.html