EVNGENCO 2 valued at $2 billion, IPO expected in December

20/05/2020 08:59:09 - views: 201

The value of the Power Generation Corporation 2 (EVNGENCO 2), a subsidiary of Vietnam Electricity, has been determined at VNĐ46.1 trillion (US$2 billion) as of January 1, 2019, of which the real value of State capital is more than VNĐ26.6 trillion.

Ô Môn Thermal Power Plant, managed by EVNGENCO 2. The company is expected to conduct an IPO in December this year.
The company’s valuation, used for its equitisation process, was announced by the Commission for the Management of State Capital at Enterprises on Tuesday.
Assets not included in the enterprise’s value are fixed assets formed from the reward and welfare fund with the remaining value of VNĐ 5.7 billion which was transferred to the trade union organisation to manage and use for the benefits of employees in the company.
The valuation is calculated by the auditing and tax consulting firms AASC and UHY based on financial statements audited by KPMG.
According to Hồ Sỹ Hùng, vice chairman of the commission, enterprise valuation is the first step during the equitisation process with the hope of providing the public information in a transparent manner to attract investors to a future IPO.
The result was reviewed carefully based on publicity, transparency and democracy in compliance with the law and supervised by assistance teams from the equitisation steering committee and tax agency with the approval of land use plans of the People’s Committees of relevant provinces and cities and audited by the State Audit Office of Việt Nam, Hùng said.
EVNGENCO 2 is among the six State corporations due for equitisation this year.
The company was established in 2012 with a charter capital of VNĐ11.7 billion. Vietnam Electricity (EVN) holds 100 per cent of its charter capital
Nguyễn Xuân Nam, EVN’s deputy general director, on Tuesday pledged to take drastic measures to complete equitisation on schedule.
“This valuation is an important step for EVNGENCO 2 to make its initial public offering (IPO) by the end of this year, helping attract investors to participate and contribute to the development of the company,” Nam said.
The Commission for the Management of State Capital at Enterprises has instructed EVN and EVNGENCO 2 to urgently implement the following steps to conduct its equitisation plan, which will be submitted to Prime Minister Nguyễn Xuân Phúc for approval in August.
Its IPO is expected to take place in December this year.
EVNGENCO 2 reported net sales of goods and services in 2019 reached VNĐ27.1 billion, up 16 per cent year-on-year. However, due to interest expenses exceeding VNĐ1 trillion, its after-tax profit was VNĐ3.1 billion.
Source: Vietnam news

 Gửi ý kiến phản hồi

Họ và tên Email
Tiêu đề Mã xác nhận


MoIT strives to ensure power supply

Cập nhật 24/09/2020

Viet Nam should study operational solutions to make full use of existing power sources and enhance the...


EVN restructures the dependent accounting units

Cập nhật 07/11/2018

The Prime Minister has just directed Electricity of Vietnam (EVN) to restructure, reorganize and...


Thai firms to invest in thermal power plant in Quang Tri

Cập nhật 18/09/2020

Three leading energy businesses of Thailand recently signed a joint deal to develop the Quang Tri...


Power supply is sufficient next year: EVN

Cập nhật 07/09/2020

Vietnam’s electricity supplier say they are confident they have the power to supply the whole country...


Northern Power Corporation reports production rise amid difficulties

Cập nhật 09/07/2020

Despite the difficulties posed by extreme weather and the COVID-19 pandemic, the Northern Power Corporation...