Two Thai brewers are contemplating purchase of a stake in Saigon Beer Alcohol Beverage, which is 89% owned by the Government of Vietnam.
Chang beer maker Thai Beverage is planning to buy 40% of Saigon Beer for around $1bn.
Singha, which produces beer in addition to snack foods in Thailand, is also seeking to buy the government's Saigon Beer stake, The Wall Street Journal reported.
However, the government did not put Saigon Beer stake on sale officially, according to the publication.
The Vietnamese government's plans to sell its stake in Saigon Beer to strategic investors in the past were delayed due to certain procedural issues.
Currently, the $2.4bn worth Saigon Beer controls around 46% of the beer market in Vietnam.
The sale, if occurs, will be the latest in a series of Vietnamese government privatizations.
The proposed sale negotiations will commence if Vietnam Prime Minister Nguyen Tan Dung gives consent.
Vietnamese beer market is attracting overseas investors because of its growth opportunities.
