SCIC fully divests Quang Ninh Thermal Power

SCIC wishes to fully divest its 11.42 per cent holding in Quang Ninh Thermal Power JSC at double the market price, expecting to collect $53.04 million.

SCIC fully divests Quang Ninh Thermal Power

SCIC fully divest out of Quang Ninh Thermal Power

SCIC recently announced to auction off its 51,401,089 shares (11.42 per cent) of Quang Ninh Thermal Power JSC (QTP).

SCIC wishes to sell at the price of VND23,800 ($1.03) per share, however, at the November 18 session QTP was at only VND11,200 (49 US cent).

SCIC is currently the third-biggest shareholder in QTP, just behind Power Generation Corporation 1 (42 per cent) and Pha Lai Thermal Power JSC (16.35 per cent).

The two biggest shareholders following SCIC are Vinacomin-Power Holding Corporation (10.62 per cent) and REE Corporation (9.35 per cent). In recent years, REE has been trying to acquire other companies in the field of energy and water.

QTP has a total capacity of 1,200MW, 600MW of which went into operation in 2009, and the rest in 2013, producing limited profit.

Due to foreign currency debt, QTP is affected by exchange rate fluctuations. Experts estimate that each additional increase in the exchange rate will increase the financial cost of this business by VND77 billion ($3.35 million) per year.

In return, the production cost and variable costs of QTP are both lower than other listed thermal power facilities.

 

The main input materials of QTP are mainly sourced from coal mines in the Northeast coal basin. QTP signed a long-term coal trading contract with TKV to ensure stable input.

In the first nine months of this year, QTP recorded a net revenue of VND7.4 trillion ($321.74 million), up 13 per cent over the same period last year. After deducting the cost price, the remaining gross profit is VND734 billion ($31.91 million), equivalent to the same period last year.

Meanwhile, the company's financial expenses stood at VND438 billion ($19 million), mainly due to decreases in exchange rate differences and interest rates.

Along with that, general administrative expenses were steady at around VND44 billion ($1.9 million), equivalent to the same period last year.

By the end of September 30, the total assets of QTP were VND11.15 trillion ($484.78 million), formed from VND4.48 trillion ($194.78 million) of equity and debt to pay of VND6.67 trillion ($290 million). VIR

Tan Duong

Building credit: How SOEs can get foreign financing for infrastructure

Building credit: How SOEs can get foreign financing for infrastructure

State-owned enterprises (SOEs) face unique challenges when it comes to attracting foreign financing for infrastructure projects. But there are solutions.  

Vietnamese SOEs’ outward investment projects take big losses

Vietnamese SOEs’ outward investment projects take big losses

The losses incurred by state-owned enterprises (SOEs) from outward investment projects in 2018 reached $367 million, a sharp increase of 265 percent compared with 2017, a report shows.

 
 

Other News

.
New driving force for Vietnam-EU relations
New driving force for Vietnam-EU relations
VIDEOicon  14/02/2020 

The European Parliament has ratified the EVFTA and the EVIPA. The ratification has opened up new horizons for more intensive, comprehensive and effective bilateral cooperation 30 years after the establishment of diplomatic ties.

BUSINESS NEWS HEADLINES FEB. 14
BUSINESS NEWS HEADLINES FEB. 14
BUSINESSicon  14/02/2020 

Large retail formats to dominate HCM City’s retail market

Vietnam says to ratify EVFTA in May
Vietnam says to ratify EVFTA in May
BUSINESSicon  13/02/2020 

The EVFTA will be ratified in May and take effect in July this year if everything fares well, said Minister of Industry and Trade Tran Tuan Anh.

Japanese firm to attract Vietnamese workers via football
Japanese firm to attract Vietnamese workers via football
BUSINESSicon  14/02/2020 

Japanese electronic device maker Lion Power is tapping into football’s popularity in Vietnam as a way to recruit technical trainees amid a labour shortage in Japan, reported the Asian Nikkei Review.

COVID-19: Mong Cai completes preparations to resume border trade
COVID-19: Mong Cai completes preparations to resume border trade
BUSINESSicon  13/02/2020 

Mong Cai city in Quang Ninh has basically completed preparations to resume trade through the Mong Cai International border gate, after a suspension due to the outbreak of coronavirus (COVID-19).

BUSINESS NEWS HEADLINES FEB. 13
BUSINESS NEWS HEADLINES FEB. 13
BUSINESSicon  13/02/2020 

Ministries seek new export markets for farm produce

EVFTA, EVIPA unleash market potential for European firms
EVFTA, EVIPA unleash market potential for European firms
BUSINESSicon  13/02/2020 

The EU-Vietnam Free Trade Agreement and the EU-Vietnam Investment Protection Agreement offer significant business opportunities for European enterprises, German Federal Minister for Economic Affairs and Energy Peter Altmaier said.

VN’s GDP growth to reach 6.25 percent if COVID-19 outbreak is contained in Q1
VN’s GDP growth to reach 6.25 percent if COVID-19 outbreak is contained in Q1
BUSINESSicon  13/02/2020 

Vietnam’s gross domestic product (GDP) growth is expected to reach 6.25 percent in 2020 if the outbreak of coronavirus disease (COVID-19) is contained within the first quarter of this year, according to the Ministry of Planning and Investment.

WB’s new strategy helps Vietnam better utilise solar power
WB’s new strategy helps Vietnam better utilise solar power
BUSINESSicon  13/02/2020 

The World Bank (WB)’s new approaches to bidding and deployment for solar projects will help Vietnam substantially boost and effectively manage its abundant solar energy resources.

Local airlines sustain coronavirus-triggered loss of VND10 trillion
Local airlines sustain coronavirus-triggered loss of VND10 trillion
BUSINESSicon  13/02/2020 

Local carriers had incurred total losses of over VND10 trillion as of February 10, Tuoi Tre reported, citing the head of the Civil Aviation Authority of Vietnam (CAAV) Dinh Viet Thang.

Foreign ownership cap yet to be applied at payment intermediaries
Foreign ownership cap yet to be applied at payment intermediaries
BUSINESSicon  13/02/2020 

The State Bank of Vietnam (SBV) has removed a regulation capping foreign ownership at 49% for local payment intermediaries from a draft decree on noncash transactions.

Over 36 tons of masks exported amid local virus scare
Over 36 tons of masks exported amid local virus scare
BUSINESSicon  13/02/2020 

More than 36 tons of face masks was shipped overseas from HCMC within one week even though the domestic market is falling short of the product and the Government is finding ways to shore up mask supplies.

Prices of goods under State watch should be kept unchanged to curb inflation: GSO
Prices of goods under State watch should be kept unchanged to curb inflation: GSO
BUSINESSicon  13/02/2020 

The Government should not raise the prices of any products under its management, especially medicines, fuels and electricity, in the first half of 2020 to keep the full-year inflation rate under control, stated the General Statistics Office.

EU lawmakers approve free trade deal with Vietnam
EU lawmakers approve free trade deal with Vietnam
BUSINESSicon  13/02/2020 

The European Parliament (EP) on February 12 ratified the EU-Vietnam Free Trade Agreement (EVFTA) and the EU-Vietnam Investment Protection Agreement (EVIPA).

Vietnam vows to obtain $300 billion in export turnover
Vietnam vows to obtain $300 billion in export turnover
BUSINESSicon  14/02/2020 

The Prime Minister has set the goal of exporting $300 billion worth of products this year, but with the coronavirus outbreak, this proves to be an impossible mission.

Produce 'rescue' campaigns help farmers amid export decline to China due to coronavirus outbreak
Produce 'rescue' campaigns help farmers amid export decline to China due to coronavirus outbreak
BUSINESSicon  13/02/2020 

Mekong Delta farmers are facing natural calamities and saline intrusion, as well as the decline of the Chinese market amid the coronavirus outbreak.

Coronavirus outbreak hits aviation industry hard
Coronavirus outbreak hits aviation industry hard
BUSINESSicon  13/02/2020 

Flying an empty aircraft for the second time in one week, Hoang, a captain working for a Vietnamese airline, has heard that the airline is incurring big losses because of nCoV.

BUSINESS NEWS HEADLINES FEB. 12
BUSINESS NEWS HEADLINES FEB. 12
BUSINESSicon  12/02/2020 

Vietnam holds key to expediting infrastructure investment: Moody’s

Investment in Vietnam-based start-ups grows sharply in 2019
Investment in Vietnam-based start-ups grows sharply in 2019
BUSINESSicon  12/02/2020 

Investment in Vietnam-based start-ups grew sharply in 2019, according to Singapore-headquartered venture capital firm Cento Ventures.

Traders, exporters advised not to transport produce to northern border gates
Traders, exporters advised not to transport produce to northern border gates
BUSINESSicon  12/02/2020 

The Ministry of Agriculture and Rural Development has asked local exporters to suspend the transport of farm produce to the northern border gates.

 
 
 
Leave your comment on an article

OR QUICK LOGIN