VietNamNet Bridge – The parent company of Viet Nam National Shipping Lines (Vinalines) is expected to make an initial public offering (IPO) by Q1 2015 and will accelerate the privatisation of eight subsidiaries.

Vinalines has finalised proposals to reschedule VND100 trillion (US$4.7 billion) of local debt and $196.25 billion of foreign debt.— File Photo

The Ministry of Transport is also speeding up the equitisation of units controlled by Vinalines. Deputy Minister of Transport Nguyen Hong Truong was appointed to chair the board managing the Vinalines equitisation.

The eight companies targeted for equitisation this year include Sai Gon Port, Cam Ranh Port, Nghe Tinh Port, and Can Tho Port. Nam Can Port, Vinalines Hai Phong, Vinalines Shipping Company and Vinalines Container Shipping Company are also among the targeted companies.

Vinalines has successfully equitised two units, Quy Nhon Port and Khuyen Luong Port, while Nha Trang Port has announced it will conduct an evaluation for equitisation.

Regarding the equitisation progress of Vinalines, Minister Dinh La Thang noted that there was no reason to delay because other tough and complicated equitisation projects at Vietnam Airlines, Viet Nam Waterway Construction Corporation (Vinawaco) and Civil Engineering Construction Corporation 8 (Cienco8) were being conducted without a hitch.

The State-run corporation has hastened to let two subsidiaries go bankrupt, including the Vinashin Ocean Shipping Company (Vinashinlines) and the Viet Nam Oil and Gas Transportation Company (Falcon).

Vinalines has finalised proposals to reschedule VND100 trillion (US$4.7 billion) of local debt and $196.25 billion of foreign debt.

The conference on restructuring State-owned enterprises (SOEs) held by the government in Ha Noi two weeks ago estimated that a total of 432 SOEs would be equitised during the 2014-15 period, or 216 enterprises will see equitisation per year.

Reports presented at the conference revealed that during the 2011-13 period, 180 SOEs nationwide were rearranged with 99 equitised, which was said to be a low number.

Experts called for regulations to be issued quickly on the management and inspection of State economic groups and corporations and emphasised the need for supervision while implementing strategies and plans.

SOEs have been asked to apply modern business administration standards and accelerate the application of scientific and technological advances in order to cut costs and improve productivity.

Source: VNS