EVN: Slackens IPO of power sector

14/01/2008 00:00:00 - views: 2,000

Vice President of Vietnam Electricity (EVN), Mr. Dinh Quang Tri, said that EVN had just temporarily delayed the equitization of 8 power transmission units conforming to the instruction from the Prime Minister.

 According to Mr. Tri, 8 power transmission units that have postponed issuing shares to public (IPO) in 2008 are: Power Company No.1, 2 and 3; and Hai Phong, Ninh Binh, Hai Duong, Dong Nai, Da Nang One Member Limited Companies.
With 6 units consisting of Information Technology Center; Thu Duc, Phu My, and Can Tho One Member Limited Companies, Uong Bi Thermal Power Company is in the process of assessment, preparing for IPO. Da Nhim – Ham Thuan – Da Mi Hydropower Company is completing equitization plan, preparing for IPO as well.
In terms of the reason leading to the delay, as said by Mr. Tri, it has been partially because the organization and operating charter of the Corporation had not been approved by the Prime Minister until October 2007, and 2007 was also the first year when EVN switched to corporation model, and then they should encounter some difficulties.
Especially, the procedures of equitization for enterprises belonging to EVN were still complicated, which made the assessment process took them so long, and the enterprises missed the chances to mobilize capital when the market was prosperous.
The period for the registration of shares for the first time prolonged and depended on the auction agenda of Ho Chi Minh City Securities Committee and Hanoi Securities Trading Center, which restricted the activeness of enterprises.
In 2007, EVN equitized and switched to the model of a 9 member joint stock company, including: Ba Ria Thermal Power Company, Thac Mo Hydropower Company, Ninh Binh Thermal Power Company, Thu Duc Electro-Mechanical Company, Power Company No.1, 2, 3, 4 and Electricity Construction Consulting Center (of Ho Chi Minh City Power Company).
With the total value mobilized through IPO, 9 member units have helped EVN gain VND 1.974 billion. Dividends in 2007 from companies that EVN had the large share-holding was estimated at more than VND 500 billion and that from EVN’s affiliates in banking, insurance and securities sectors was approximately over VND 50 billion.

From Dantri

EVN seeks special mechanism for equitised Gencos
EVN seeks special mechanism for equitised Gencos

Electricity of Vietnam (EVN) has asked the Prime Minister to issue a special operation mechanism for...

Information Technology Center seeks recruitment

EVN’s Information Technology Center is a member of the Electricity of Vietnam Group (EVN) functioning...


EVN lauded for ensuring power supply

Cập nhật 14/01/2021

Deputy Prime Minister Trinh Dinh Dung on January 12 lauded the Vietnam Electricity (EVN) for its efforts...


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...


Construction of Hòa Bình hydropower's expansion project plant kicks off

Cập nhật 11/01/2021

Construction of the expansion of the Hòa Bình hydropower plant began in the northern mountainous province...


EVN aims to complete key power projects in 2020

Cập nhật 21/10/2020

Vietnam Electricity (EVN) planned to put two turbines of Thuong Kon Tum hydropower plant and Se San...


Power consumption rises as economy recovers from pandemic

Cập nhật 26/10/2020

Power consumption increased significantly in September as the economy started to find its feet after...