Vinacomin rakes in $76m from divestment

Wednesday, Oct 15, 2014 11:11

The Viet Nam National Coal and Mineral Industries Holding Corporation (Vinacomin) has completed divestment after selling its capital in the Saigon-Ha Noi Commercial Bank (SHB) and other two companies. The divestment has earned the corporation VND1.6 trillion (US$76.1 million). — Photo

HA NOI (Biz Hub) — The Viet Nam National Coal and Mineral Industries Holding Corporation (Vinacomin) has gained VND1.6 trillion (US$76.1 million) from the divestment of three companies in its non-core businesses this year.

Vinacomin has completed divestment in the financial sector after selling its capital in the Vinacomin Finance Company, Sai Gon–Ha Noi Commercial Bank (SHB) and SHB Securities Company.

Vinacomin issued 3 trillion five-year bonds in the period to mobilise capital for coal and minerals projects.

It rearranged the structure of 10 member companies to make them subsidiaries.

The group has been rushing to withdraw non-core investment of VND200 billion ($9.5 million) from the property sector and is set to complete the divestment process next year.

Vinacomin has also completed the withdrawal of its capital from the South Coal Joint Stock Company, which the State did not need, to reduce its stake from 77 to 34 per cent.

Draft plans for the of restructuring of the Tourism and Commerce Company, the Hon Gai Mechanical Company and the Maritime Shipping Agency Company, as well as the Electricity Equipment Company and the Maritime Transportation Company are also available.

Vinacomin's Deputy General Director Nguyen Van Bien said that the firm pocketed VND4.8 billion of its VND48 billion investment in the Viet Nam Partner BIDV Fund. It was expected that the group would complete the divestment from the fund next year.

Vinacomin has submitted its plan for divestment from non-core businesses in Laos and Cambodia to Prime Minister Nguyen Tan Dung and is waiting for instructions.

Regarding the progress of privatisation at the Electricity Corporation and the Minerals Corporation, Bien said that the two units had completed the assessment of their business value and had reported to the Ministry of Industry and Trade. — VNS

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