Vietnamese conglomerate Vingroup is reportedly entering the smartphone market, with the company already working with advisers to acquire technology and production equipment for the new venture.

Reuters reported Vingroup established a new unit, VinSmart, with registered capital of VND3 trillion ($131.5 million). It will also produce other “smart electronic devices” which, along with the smartphones, will be sold under the Vsmart brand.

The report said smaller rivals in Vietnam have “failed to dent the popularity of Samsung and Apple phones”: the former operates a large production facility in the country.

Vingroup’s activities span sectors including hospitality and entertainment, retail, healthcare, education and industry.