Vinalines to cut seaport stake

September 02, 2017 - 09:00

Vietnam National Shipping Lines (Vinalines) has proposed to reduce its stake in many strategic seaports.

Vinalines has proposed to reduce its stake in many strategic seaports. — Photo VNA
Viet Nam News

HÀ NỘI — Vietnam National Shipping Lines (Vinalines) has proposed to reduce its stake in many strategic seaports.

Accordingly, the country’s largest shipping company will reduce its stake in northern Hải Phòng Port from the current 92.56 per cent to 65 per cent and in central Đà Nẵng Port from 75 per cent to 65 per cent. Its stake of 80.9 per cent and 99.05 per cent at the Cam Ranh and Cần Thơ ports will also be cut to 51 per cent each.

Vinalines expected the plan will succeed as the port business has been assessed to have potential thanks to the export and import growth.

As for other ports such as Khuyến Lương, Sài Gòn, Nghệ Tĩnh and Năm Căn, Vinalines will continue to hold the current stake, which ranges between 49 per cent and 65.45 per cent.

Most of the ports in which Vinalines holds dominant stake are situated at strategic positions and have a significant impact on the nation’s security and defence, therefore direct co-ordination and management of the State is needed, Vinalines said.

Following the divestment from 11 port operation firms, Vinalines currently holds capital in eight port operators.

However, Vinalines admitted that although improvement in governance has been made after transferring to joint stock companies, the firms still need a breakthrough and better application of science and technology.

Vinalines is due to make an initial public offering (IPO) in December this year and make its debut as a joint stock company in April next year. At the time of the IPO, Vinalines’ charter capital is expected to be VNĐ12.3 trillion (US$542 million).

Currently, Vinalines owns a fleet of ships with capacity topping more than two million tonnes, accounting for 25 per cent of the nation’s total capacity. It is also a provider of maritime and logistic services with warehousing and ICD systems in major cities and along major seaports in Việt Nam.

As per the plan approved by the Government, from now until 2020, Vinalines will develop and operate seaports at strategic locations to play a vital role in the overall transportation network of the country.

Vinalines will prioritise investment in the development of deep-water ports and international transshipment ports that have the potential to become large seaports capable of competing with regional cargo transshipment hubs. One of the projects to be given priority is the Hải Phòng international port with two container berths and total capacity of up to 8,000 TEUs, which will be implemented in 2017-20. Another project Liên Chiểu Port with two berths is scheduled for execution in 2017-24. - VNS