SCIC has no plans to divest from large enterprises this year

June 30, 2022 - 08:55
In 2022, State Capital Investment Corporation (SCIC) is expected to divest at 101 member companies.

Sabeco's beer production line. The beverage producer is not on the divestment list of SCIC this year. Photo courtesy of Sabeco

HÀ NỘI — In 2022, State Capital Investment Corporation (SCIC) is expected to divest from 101 member companies.

In the list of divestments this year, large enterprises such as Tiền Phong JSC, Bảo Việt Group, Sabeco, Vinatex and FPT Corporation, are not mentioned.

However, it does include many notable companies, including Hải Phòng Thermal Power JSC, Bình Minh Plastic JSC, Vinaplast Corporation, Seaprodex, EVN TPC Quảng Ninh, Viettronics Corporation, CoTraco Quảng Ninh, Vinacontrol, FICO, Thăng Long JSC, VIWASEEN, and Licogi.

Recently, SCIC divested from Vĩnh Long Real Estate JSC, Saigon Machinery Spare Parts JSC, Thăng Long JSC, and Bến Tre Construction Material JSC. Of which, the auction of Thăng Long JSC’s shares could not take place due to a lack of investors.

Promoting auctions of companies

SCIC will auction a lot with a volume of more than 2 million VXB shares of Bến Tre Construction Material with a total value of VNĐ138.1 billion (US$5.9 million). That is equivalent to about VNĐ68,557 a share, 334 per cent higher than its market price. The auction will be on July 19.

At the end of 2021, the company had four major shareholders, including SCIC owning 49.76 per cent of charter capital, equal to over 2 million VXB shares.

Thereby, SCIC plans to divest all VXB shares in this auction.

Bến Tre Construction Material was established in 1978 and is a state-owned enterprise. In 2014, it changed to a joint stock company model with charter capital of VNĐ15 billion and has officially been listed on the Hà Nội Stock Exchange (HNX) since 2010.

The company operates in fields of manufacturing, trading building materials and interior decoration products; river sand mining, construction and ground filling; freight; and construction of infrastructure for civil and industrial works.

In the first quarter of 2022, Bến Tre Construction Material recorded a cumulative loss of nearly VNĐ26 billion, equal to 64.2 per cent of its charter capital, and total assets of VNĐ165.69 billion.

SCIC will also auction a lot of nearly 1.94 million shares of Vĩnh Long Real Estate, equivalent to a total value of VNĐ75.3 billion, about VNĐ38,851 per share. The auction is scheduled to take place on July 18.

Vĩnh Long Real Estate is located in Vĩnh Long Province with charter capital of VNĐ26.54 billion. Its main activities are in the field of building houses of all kinds and construction of public works.

It is estimated that SCIC will auction 73 per cent of Vĩnh Long Real Estate’s charter capital.

Vĩnh Long Real Estate, formerly known as Vĩnh Long House Trading Company, was established in 1993 and is owned by the state. In 2004, the company equitised and changed to its current name.

Cancelled auction

SCIC plans to sell all 10.5 million TTL shares of Thăng Long JSC with a starting price of VNĐ195 billion, corresponding to the minimum asking price of about VNĐ18,530 a share on HNX.

The auction was due on June 21. However, at the end of the registration period, there were no investors attending the auction, so it was cancelled.

Thăng Long JSC, formerly known as Thăng Long Bridge Complex Company, was established in July 1973, with the first task of building the Thăng Long Bridge (1973-1985) - the largest bridge at that time.

In 2018, the company's shares were traded on HNX.

The company mainly works in the field of construction of traffic infrastructure, industrial park infrastructure; warehouse, office and factory rental services; production of concrete and cement products.

By the end of 2021, the shareholder structure of Thăng Long JSC included one major shareholder, the state, owning 25.1 per cent of its charter capital, while the remaining 74.9 per cent belongs to other groups of shareholders. VNS