Hanoi (VNA) – Prime Minister Nguyen Tan Dung has approved the equitisation plan to transform the State-owned Vietnam National Construction Consultants Corporation (VNCC) into a joint stock company on January 15.

After the equitisation, VNCC, under the Ministry of Construction, will have chartered capital reserves of 357.7 billion VND (15.89 million USD), or 35,774,448 shares at a par value of 10,000 VND (43 US cents) per share.

Under the plan, the MoC, representing the State capital, will hold 18,244,968 shares, or 51 percent in the corporation, while as much as 1,779,500 shares, or 4.97 percent of the charter capital, will be sold to employees.

Further, MoC will decide upon the number and prices of shares to be sold during the initial public offering to strategic investors.

In 2015, the corporation earned revenues of 1.128 trillion VND (56.8 million USD), an increase of 8 percent, and profits of 70.85 billion VND (3.14 million USD), up 13 percent over 2014.

Plans also call for the corporation to divest partly or wholly in its core and non-core business.

Similar to VNCC, according to the local media, MoC plans the equitisation of four large enterprises under its umbrella in 2016. The SOEs of Song Da Corporation, Housing and Urban Development (HUD), Vietnam Urban and Industrial Zone Development Investment Corporation (IDICO) and the Vietnam Cement Industry Corporation (VICEM) have largely completed their corporate evaluations. Those companies were working with the State Audit of Vietnam to assess their values before the figures are approved and announced by the ministry.

Currently, the ministry has nearly finished its target of having all SOEs equitised. Most enterprises under the ministry are large, with some firms reporting assets of over 10 trillion VND (445 million USD) and State ownership ranging from 1 trillion VND to 15 trillion VND.

Also, many companies own land use rights, offices, workshops, urban areas, industrial zones and none-core businesses.-VNA