RESTRUCTURING SCHEMES FOR MAJOR PORTS MAY CHANGE

In the schemes sent to the Prime Minister, the ministry proposed selling an 80% stake at each of the ports to Vingroup and the remaining shares would be held by the State and other investors.

According to the plans prepared by Vinalines, which operates the two ports, the State would own 65-75% of the two key ports of Vietnam after they go public. However, Vinalines would have to adjust its initial plans if Vingroup gets approval from the Government to hold the proposed percentage of ownership.

Saigon Port is completing a scheme for its initial public offering (IPO) in April. The port is valued at nearly VND4 trillion with some VND2.16 trillion owned by the State.

Haiphong Port completed its IPO with the average winning price of VND13,507 per share. If Vingroup buys 80% of the port’s shares, the State holding there would decline to a small percentage compared to the port’s chartered capital of VND3.27 trillion.

The ministry’s proposal to sell Haiphong Port’s majority stake to Vingroup means Vietnam-Oman Investment cannot become a strategic investor of the port though it got approval to buy part of the port.

Source: The Saigon Times