VietNamNet Bridge –  The so-called “Lotte phenomenon” is a phrase on the lips of many businesspeople, reflecting the presence of the South Korean investor in many business fields in Vietnam.

Lotte, for example, has replaced Korean conglomerate Posco to become a foreign partner in a joint venture operating Diamond Plaza, a shopping mall, office and high-end apartment complex in district 1 of HCM City.

Lotte’s President Shin Dong Bin, at a meeting with HCM City Mayor on March 4, said Lotte had officially joined the management board at Diamond Plaza.

Declining to say how much money Lotte had to pay to Posco in the deal, the president said Lotte had acquired 70 percent of Diamond Plaza’s capital.

Located at the Le Duan and Pham Ngoc Thach crossroads, behind the Notre Dame Cathedral in the city center, the 22-storey complex built with initial investment capital of $60 million has an advantageous position.

It has attracted famous international brands to its shopping mall and large corporations to its offices.

While Thoi Bao Kinh Te Sai Gon’s sources have confirmed the changes in the management board, the HCM City Planning and Investment Department said it had not received information about it.

The acquisition of Diamond Plaza has once again shown Lotte’s power and its strong determination to penetrate more deeply into the Vietnamese real estate market.

The South Korean company has, step by step, acquired the biggest real estate projects in Vietnam.

HCM City’s residents were astonished last April when they learned that the 5-star Legend Saigon Hotel in district 1, which faces Saigon River, had changed its name to Lotte Legend Saigon.

Lotte had bought 70 percent of the capital contribution in the hotel from the Japanese company Kotobuki to become the largest shareholder.

The remaining 30 percent of shares of the 17-story hotel with 283 rooms are held by the Vietnamese Hai Thanh Company.

Lotte has also been eyeing other business fields, including the distribution sector.

Well-informed circles say Lotte Mart is taking action to take over Pico Vietnam, a household appliance distribution network.

The retailer has put into operation a new shopping mall at No 20 Cong Hoa Street in Tan Binh District, HCM City, formerly known as Pico Plaza.

Prior to that, a shopping center owned by Pico in Hanoi changed its name to Lotte supermarket.

Lotte is seeking investment opportunities in other projects, including the development of a smart complex in the new urban area of Thu Thiem in HCM City, capitalized at $2 billion.