PM approves Cienco 8 equitisation

March 25, 2014 | 15:47

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The prime minister has approved the equitisation plan of the mother company of Civil Engineering Construction Corporation 8 (Cienco 8).

After equitisation, Cienco 9 is projected to have a charter capital of VND350 billion ($16.5 million), equivalent to 35 million shares (par value VND10,000 per share) of which the state would hold a 49 per cent stake, 21 per cent would be offered to strategic partners, 28.6 per cent would be offered to the public and the balance would be preferentially offered to employees.

The prime minister authorised the Ministry of Transport to decide the starting price for the IPO, which is expected in the second quarter of this year.

Cienco 8 and Vietnam Airlines were the two firms under the Ministry of Transport which missed the first quarter IPO deadline as their equitisation plans had yet to be approved. The remaining nine corporations under the ministry must conduct their IPOs in the first quarter of 2014.

Of the 11 corporations under the Ministry f Transport supposed to hold IPOs this year, Vietnam Airlines and Vinamotor are the most anticipated by both foreign and domestic investors.

By By Nguyen Trang

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