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Vinalines wants to divest from Hải Phòng Port

Update: February, 20/2017 - 15:45
Containers are loaded at Hải Phòng port. Vinalines plans to reduce its State-owned capital at the Port of Hải Phòng Joint Stock Company by 27.56 percentage points. — Photo haiphongaz.com
Viet Nam News

HÀ NỘI — The Vietnam National Shipping Lines (Vinalines) is seeking to reduce its ownership rate in the Port of Hải Phòng Joint Stock Company by 27.56 percentage points.

For this, it has already sought permission from the Ministry of Transportation.

Currently, Vinalines is holding 95.56 per cent of Hải Phòng Port company’s charter capital which stands at VNĐ3.27 trillion (US$145.3 million).

Since the equitisation of Hải Phòng Port company was completed, Vinalines has reduced its ownership rate by 2.12 per cent by conducting a debt-to-equity swap with the Vietnam Joint Stock Commercial Bank for Industry and Trade (Vietinbank).

Debt-to-equity swaps are common transactions that enable a borrower to transform loans into shares of stock, or equity.

According to the document sent to the ministry, Vinalines said that its plan of divestment from the Hải Phòng Port company was to create a financial source for the corporation to restructure its debts and implement development and investment projects.

Shares of the Port of Hải Phòng Joint Stock Company have been listed on the Hà Nội Stock Exchange under the code PHP.

In the end of 2014, Oman’s State General Reserve Fund (SGRF) expressed its willingness to purchase all the 29.68 per cent stake of Vinalines at the Hải Phòng Port through negotiation.

The transaction was planned to be done through the Việt Nam Oman Investments (VOI Fund) – a joint venture between SGRF and the State Capital Investment Corporation. — VNS

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