GSM Eyes US, Europe Expansion Ahead of 2028 Hong Kong IPO

Vietnamese electric taxi operator Green and Smart Mobility (GSM) plans to expand into the United States and Europe as it prepares for a targeted Hong Kong initial public offering in 2028.

GSM, a partner of Vietnamese electric vehicle maker VinFast, intends to deploy taxi fleets in the U.S., Sweden and the Netherlands by the end of 2026, a company spokesperson said. Additional European markets are expected to follow in 2027.

The international expansion comes after GSM rapidly built market share in Vietnam following its 2023 launch. The company, owned by VinFast CEO Pham Nhat Vuong and his family, exclusively operates VinFast electric vehicles.

GSM said preparations for its Hong Kong IPO will begin this year, including initial approaches to potential large investors. The company has not disclosed a fundraising target or expected valuation, although it previously said advisers had suggested a valuation of around $20 billion.

GSM already operates across several Asian markets, competing with ride-hailing companies such as Grab and GoTo's Gojek, and recently introduced vehicles in Denmark.

Its expansion could also support VinFast's push to increase overseas EV sales. VinFast sold nearly 200,000 vehicles last year, with international markets accounting for about 11%.

However, GSM's growth strategy requires substantial capital. Unlike Uber and Grab, which primarily rely on independent drivers using their own vehicles, GSM has traditionally employed drivers and owned much of its fleet.

The company plans to purchase 1 million VinFast vehicles between 2026 and 2030. VinFast previously sold 72% of its vehicles to related parties, mainly GSM, in 2023. GSM now represents roughly a quarter of VinFast's vehicle sales, with that proportion expected to remain above 20% in coming years.

To reduce costs, GSM is moving toward a hybrid model in Vietnam that combines employed and freelance drivers. About 40% of vehicles operating on its Vietnamese platform are currently company-owned.

GSM plans to initially use company-owned vehicles and employed drivers in the U.S. and European Union before gradually introducing independent drivers. Analysts warn that the capital-intensive approach could increase GSM's reliance on external funding if overseas fleet utilization and operating cash flow fail to keep pace with its aggressive expansion.