An overview of Dung Quat Oil Refinery in the central (Photo: VNA)
The BSR, which owns the 3-billion USD Dung QuatOil Refinery, revealed the plan on May 18, adding that the remaining shareswould be offered to strategic investors.
Tran Ngoc Nguyen, BSR’s general director, saidit has selected a consultancy firm to implement divestment plans at the threecapital contribution units of PV Building, PMS and PVOS to prepare for the IPO.
Answering a question on the modest rate of theIPO, Nguyen said BSR had carefully considered the number of offered shares andtaken note of recommendations from the consultancy firm.
Nguyen added that all information on businessvalue and offered price would be announced later this month after receivingapproval from the Ministry of Industry and Trade.
The IPO will be divided into two periods. Duringthe first period, BSR will be transferred into a privatisation model, offeringshares to its staff and an IPO which is set to be completed in 2017. It willcomplete the offering to strategic investors in the next 12 months.
He expected BSR to sell up to 36 percent of itsshares to strategic investors with strong financial resources and experience inthe refinery sector.
Nguyen Hoai Giang, BSR’s chairman, affirmed thedetermination for privatisation despite the unfavourable conditions of thefinancial market and decreasing oil prices, which have affected investors’confidence.
He expected BSR would be privatised at theearliest to attract strategic investors to participate in the refinery’sexpansion and development in the future.
Since its operations in 2009, the refinery’stotal revenue is 834 trillion VND and profit is 13 trillion VND. In the firstfive months of the year, its revenue reached 35 trillion VND, representing anincrease of 18 percent from the set target.
Dung Quat, the first-ever oil refinery ofVietnam, opened in 2009 with capacity of 6.5 million tonnes of crude oilannually, or 140 thousand barrels per day. The refinery was put into officialoperation in 2009 and has undergone overall maintenance twice -- in 2011 and2014.-VNA
VNA
