14:46 | 16/03/2016 Companies
Vietnam National Shipping Lines will make an initial public offering (IPO) in Q1 of 2016, said Vu Anh Minh, Director of the Ministry of Transport’s enterprise management department.
The State-run company, better known as Vinalines, built an equitisation plan last year, under which the State will retain a stake of 36 percent.
Vinalines faced an extremely tough time from 2010 to 2015, witnessing serious business declines in the face of economic turmoil. Its investment mistakes and mismanagement of funds even led to a debt value that more than quadrupled its charter capital in late 2010.
Prime Minister Nguyen Tan Dung issued a decision in February 2013 adopting comprehensive reorganisation of the company to help it cope with the situation. The restructuring activities have focussed on marine transport, seaport exploitation and maritime services for the last three years.
Vinalines Acting General Director Nguyen Canh Tinh said last year was the first year the company saw profits during the restructuring period, and this was meaningful to a firm facing financial problems and an ailing marine transport market.
Vinalines Chairman Le Anh Son last month told Giao thong, a newspaper published by the transport ministry, that the company earned a profit of about 40 billion VND, with total revenue of more than 18.4 trillion VND in 2015.
Biz Hub reported last month that the company planned to obtain profit of at least 126 billion VND, with a revenue growing by 3 percent year-on-year at 19 trillion VND in 2016.
Vinalines officials said the company has completed equitising 12 member enterprises following the restructuring scheme. Its ports in Nghe Tinh, Can Tho, Nam Can, and Cam Ranh and Saigon were equitised last year.
Cam Ranh’s shares started trading on the stock market last year, along with shares in Hai Phong and Nha Trang, two previously equitised ports of Vinalines.
As of the end of last year, Vinalines pested from 37 enterprises, dissolved seven businesses and let three companies fail. It gained more than 551 billion VND from these activities.
Vinalines will continue to pest from 15 other businesses this year, Minh from the transport ministry said without naming them./.