Company first called Société des Terres Rouges du Thanh-Hoa was founded by Alain Henri Charles Millon de Villeroy (1872-1934), former bank employee in Paris, then private secretary to an American diplomat.

After having managed a rubber plantation in Cochinchina, then a coffee plantation in Tonkin, in the province of Phuly, Mr. de Villeroy formed with Mr. Garand in 1918 on the red lands of North Annam the Société des Plantations de Thanh- Hoa (concession in the châu of Nhu-Xuân, at the southern limit of the sông Ma delta) highlighting a wild region which required a great implication of its founder.

The Terres Rouges company succeeded the previous one in 1927.

The purpose of the company is the acquisition, rental, obtaining and operation of all agricultural concessions; the cultivation, processing and sale of all agricultural products, tea and in particular coffee; the purchase and processing of all agricultural products from concessions not belonging to the company; the purchase and breeding of any livestock.

In 1936, the extraordinary meeting held in Paris, reduced the share capital and decided to create 5,000 profit shares entitled to 40% of the excess profits. The company's head office is transferred from Haiphong to Nhu-Xuan, Thanh-hoa province, the center of the company's operations.