EVN to slash US$98 mln from non-core ops
Electricity of Vietnam (EVN) plans to withdraw capital worth VND2.07 trillion (US$97.64 million) from seven non-core companies by 2015.
The withdrawal, part of its master restructuring plan, will ensure that EVN concentrates on its core business of power production and trading to better serve society and the economy.
The targeted companies include An Binh Bank (ABBank), An Binh Securities (ABS), Global Insurance Corporation (GIC), and Saigon Vina Real Estate Company (Land Saigon).
The Central Power Real Estate Joint Stock Company (Land Mien Trung) and Vietnam Investment and Power Construction Company (EVNIC) will also be affected.
At ABS, Land Saigon and Land Mien Trung, the capital withdrawal process will be conducted through public auctions in which the starting prices will not be lower than the face values and the book values of the companies.
The corporation also plans to withdraw VND625 billion (US$29.45 million) from its subsidiary EVN Finance Company (EVNFinance) to reduce its stake from 40% to 15%.
This is in accordance with the Law on Credit Institutions that restricts the maximum shareholding of an institutional investor at 15% of the charter capital.
In 2013, EVN had withdrawn about VND252 billion (US$12 million) from An Binh Bank and VND26 billion (US$1.22 million) from GIC.