Vietnam National Shipping Lines (Vinalines) is seeking to offload all State shares at Quang Ninh Port, which is valued at VND622 billion with State capital making up VND500 billion.

A view of Quang Ninh port.

Vinalines has come up with this share sale plan after it got the Government’s nod to sell a maximum of 29.58% at Haiphong Port to Vietnam-Oman Investment. This planned share sale might win backing as the Ministry of Transport plans to ask the Government for permission to boost the sale of State shares at a number of seaports in the coming time.

Quang Ninh Port in the northern province of the same name launched an initial public offering (IPO) last May and intended to sell 22.1% of the State holding at a starting price of VND11,000 per share. However, the port sold only 7.5% of the shares offered for sale and mobilized less than VND10 billion from the auction.

Quang Ninh Port planned to sell the unsold shares one month later but the auction was canceled as no investor expressed interest.

A source told the Daily that Quang Ninh Port could not sell its shares as expected as it had little time for preparing the IPO and the remaining State capital after equitization was high.

Now T&T Group has proposed acquiring the entire State stake at the port.

According to the amended restructuring scheme of Vinalines, the State should hold a stake of 51% to 65% at Quang Ninh Port after the port goes public. Hence, Vinalines will have to pass T&T Group’s request to the ministry and the Government for approval before it maps out a plan to sell shares to the group via an auction or direct negotiations at the price which is not lower than the average price at the IPO last May.

In addition to State capital divestments from seaports, the Ministry of Transport said the State will not fund new seaport projects, except for the ports vital for security and defense.

Speaking at a meeting on attracting investments into marine infrastructure development last week, Do Duc Tien, deputy head of the Vietnam Maritime Administration, said the agency would announce the list of 41 marine infrastructure projects for investors. Of VND43 trillion needed for these projects, investors have registered VND7 trillion mainly for seaport and pier projects.

The other projects involve marine routes, electronic shipping and storm shelters.

Minister of Transport Dinh La Thang said Lach Huyen deepwater port would be the final maritime project funded by the State budget. Afterward, projects in the field will be invested by private enterprises.

“The State will only fund the projects which private enterprises do not invest in and the ones crucial for security and defense,” Thang said.