Sony’s 49% Stake in YeaH1 Label Signals a New Way to Scale in Vietnam
Sony uses a minority-stake partnership to scale in Vietnam while keeping local creators and narratives in control.
Sony Music Entertainment Hong Kong has acquired a 49% voting stake in 1Label JSC, a subsidiary of Vietnam's largest media company YeaH1 Group. The deal positions Sony to tap into Vietnam's fast-growing digital music market while YeaH1 retains majority control.
Deal Follows YeaH1's Strong Revenue Recovery
The partnership comes as YeaH1 rebounds from pandemic-era losses, with 2024 revenue hitting 1 trillion Vietnamese dong (approximately US$39.4 million), a 100% year-over-year increase. Net profit jumped nearly fivefold to 122.6 billion dong (around US$4.8 million).
YeaH1, founded in 2006, operates more than 240 channels across Facebook, YouTube, and TikTok with over 300 million subscribers. The company's turnaround stems from a strategic shift toward premium local content, including hit shows like "Sisters Who Make Waves" and "Call Me by Fire." These programs have driven what CEO Ngo Thi Van Hanh calls the company's "second startup chapter," focused on building Vietnam's "idol economy."
Through the Sony partnership, 1Label JSC will access global distribution networks and artist management technologies. YeaH1's artist management arm, 1Talents Limited, aims to develop Vietnamese talent for regional markets including Thailand and South Korea.
Leighton Cosseboom
Sony Expands Vietnam Footprint Via Multiple Partnerships
This investment marks Sony's second major Vietnam move in recent months. In April, Sony Music Vietnam partnered with Great Entertainment for exclusive global distribution rights to artists including hip-hop performer B Ray and producer Masew.
The 49% stake structure allows Sony to enter Vietnam's market while managing regulatory and operational risks. Kenny Ong, Managing Director of Sony Music Southeast Asia, based in the company's Singapore regional headquarters, oversees expansion across Vietnam, Malaysia, and Singapore.
Vietnam's digital music sector is growing rapidly, fueled by streaming platforms and short-form video consumption. YeaH1's Mango+ streaming platform and micro-drama content aim to monetize this trend, with Hanh targeting a US$1 billion company valuation.
Leighton Cosseboom
Stock Performance Reflects Industry Cycle
Despite revenue growth, YeaH1's stock has fallen 35% year-to-date in 2025, with current market capitalization at 2.3 trillion dong (approximately US$90.6 million). The decline reflects broader entertainment industry cycles and rising production costs, which caused an 80% net profit drop in Q3 2024.
Petri Deryng, portfolio manager at PYN Elite Fund (which holds a 10% stake in YeaH1), endorsed the Sony deal. "YeaH1's new management style focuses on sustainable growth, not short-term gains," Deryng stated.
Vo Phan Hong Kiet, an analyst at Vietcap Securities, expects revenue recognition from new intellectual property and shows to drive stock recovery. The return of "Call Me by Fire" for season 2 in 2025 could further boost valuation, mirroring the success of its 2024 revival.
YeaH1 previously collaborated with Sony on talent show Tan binh toan nang, promoting Vietnamese artists internationally. The expanded partnership through 1Label positions both companies to export Vietnamese pop culture across Asia as the region's music markets continue integrating.
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