Vietnam’s Vingroup Switches Vinmec, Vinschool to Non-profit Model

Vietnam’s Vingroup Joint Stock Company (Vingroup JSC) has recently announced the transformation of Vinmec and Vinschool, its hospital brand and education brand, into non-profit models and pledged to use 100% profit for social causes, state media reported. Accordingly, Vingroup JSC committed to spending 100% profit from Vinmec, a private healthcare model, and Vinschool, a private education system, on reinvestment in system development and enhancement, particularly human resource development, scientific research, technology transfer, infrastructure upgrade and international cooperation. Vingroup JSC expected to further contribute to Vietnam’s healthcare and education, and improve living standards through its decision to switch to the nonprofit model. The company also commits not to withdraw over VND4 trillion ($179 million) of capital invested to date to develop its healthcare and education networks across Vietnam, which has been completely spent for infrastructure, human resources, intellectual property and technology. The company will continue to sponsor some VND5 trillion ($224 million) to build two nonprofit universities, including Vinmec Medical School and International VinUniveristy. Healthcare and education are amongst Vingroup's six core businesses. From their foundation, Vingroup has prioritized the social mission, and a focus on scale and quality, over financial profits. Vinmec medical system and Vinschool are leading national brands in the healthcare and education sectors. (vietnamnet.vn Sep 27, cafef.vn Sep 27)