Workers of Hà Nôi Electricity Corporation at work. — Photo Hoa Việt Cường
The shares will be sold at starting price of VNĐ14,133 (61 US cents). EVN can earn a minimum of VNĐ530 billion through the auction.
EVN Finance currently has chartered capital of VNĐ2.5 trillion and owns the maximum capital among operating financial firms.
The time to register and receive deposits is from now until August 11, 2017, and time for submitting the auction participation slip is until August 16, 2017.
The public auction will take place on August 18, 2017.
Under the master plan on restructuring enterprises under EVN in the period 2017-20, EVN will have to divest its capital in enterprises, including EVN Finance Joint Stock Company, Thủ Đức Electro Mechanical Joint Stock Company, Đông Anh Electrical Equipment Corporation-Joint Stock Company and Thuận Bình Wind Power Joint Stock Company, as well as Power Engineering Consulting Joint Stock Company 3 and Power Engineering Consulting Joint Stock Company 4.
According to the financial report of EVN Finance, in the first quarter of 2017, the total assets of the company were over VNĐ19 trillion but total debt was more than VNĐ16 trillion, accounting for 80 per cent. This result is a negative sign of the company’s financial imbalance.
Currently, EVN Finance’s charter capital is divided among EVN with 15 per cent, An Bình Commercial Joint Stock Bank 8.4 per cent, Mechanics Electrical Refrigeration Joint Stock Company 1.8 per cent and the remaining 74.8 per cent belonging to other shareholders.
In 2016, EVN planned to divest 15 per cent of capital at EVN Finance but the plan failed.