Inside SCIC’s headquarters in Hanoi. (Photo: chuyengiakinh.com) Hanoi (VNA) – The State Capital Investment Corporation (SCIC)recently announced its report for 2016 and plans for 2017, in which it claimedto have nearly doubled its 2015 post-tax income.
The company’s reported income for 2016 reached 15.8 trillion VND (713.9 millionUSD), accounting for 107 percent of its planned earning and 197 percent of its2015 income.
SCIC’s rate of return on equity in 2016 was 19.9 percent, 1.24 times more thanits annual target.
According to the company’s year-end report for 2016, its business goals wereall surpassed and bettered in comparison with 2015.
These results were achieved through SCIC’s listing of Vietnam Dairy ProductsJoint Stock Company (Vinamilk), which sold 5.4 percent of total shares andearned nearly 11.3 trillion VND, 28 times more than the initial price. Witheach share being sold at 144,000 VND, SCIC raked in an added value of more than800 billion VND, higher than the market price of 133.7 VND at the end of thesession. Its total earning from the Vinamilk deal was valued at more than 11trillion VND.
In addition to its sale of State capital for annual listed enterprises, SCICalso traded shares at several other major businesses following instructionsfrom the prime minister’s office.
In 2016, the company successfully divested 73 businesses, with 71 beingcompletely sold, and even took on 37 difficult ones, with total earning of 16.1trillion VND (726.84 million USD) over the initial capital amount of 3.08trillion VND. SCIC reached a 5.2 times rate of return and a recorded differenceof 13.03 trillion VND for 2016.
Compared with the plan laid out at the beginning of the year by the Board ofMembers, the company witnessed great success and earned 4.5 times more than2015’s results.
For the year 2017, SCIC has announced the path forward for major projects, suchas a proposal for industrial scale vaccines production and a constructionproject on 29 Lieu Giai Street, Hanoi, for a high end residential, commercialand office complex.
The latter has been invested by the Ecology Investment and Development JSC with50 percent of total capital, SCIC with 30 percent and Dai Hoang Long Companywith 20 percent. The project is managed and operated by the Vietnam InvestmentsConsulting and Construction Designing JSC, which has also completed theVinhomes Metropolis project. Construction is currently ongoing at a swift pace.
SCIC also announced its investment in Thai Nguyen, Hoa Binh and Dong Thapprovinces and its interest in projects needing investors, such as the Song Da 2water factory, the Long Thanh Airport and the Lach Huyen commercial port in HaiPhong.
Regarding SCIC’s management, the company has made improvements to theinspection of state shareholders, as well as enhancements to businesses’performance.
Established in 2005 and officially operational in 2006, SCIC functioned underdirections from the prime minister and managed investment sectors with variousbusinesses, such as financial, energy, technology and telecommunication, aswell as construction, transportation, health care and household goods.-VNA
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