Electricity of Vietnam plans to divest its all investments worth VND1.103 trillion in securities, property and insurance during its restructuring in 2011-2015 period, the group said in a report today.
EVN’s restructuring will focus on 3 main areas throughout 2011-2015 period: (1) business activities (2) ownership; and (3) organization structure.
The group said it will sell all investments in securities, property and insurance in the principle of retaining and developing its capital.
Regarding the ownership, the group plans to sell some stake in some power plants or sell all the power plants that the state needs not to hold.
The EVN also seeks the government’s approval to divest its investments estimated at VND4.502 trillion in 8 power generating joint-stock companies to prepare capital for new power generation projects.
For the group structure, EVN plans to keep 100% charter capital in the National Power Transmission Corporation, EVN and 5 power corporations in the North, Centre, South, Hanoi and Ho Chi Minh.
The group also plans to hold over 50% stake or controlling stakes in 9 companies running businesses in closely related industries.
EVN will also establish 3 power generating corporations to prepare for competitive electricity market.
The group also plans to boost its public relation to better disclose information and explanation to help the public understand it more and create a friendly and trustworthily image in the public’s eyes.
The report also said that EVN’s debts in 2010 were VND239 trillion, its liabilities-to-charter capital was 2.44 times as at December 31, 2010. In 2010, the group made a loss of VND9.064 trillion
The group forecast capital demanded for investments in 2011-1015 is VND501.47 trillion, up 2.45 times versus total investment capital in 2006-2010. The group so far could arranged only VND315.224 trillion or 62.85% and the rest VND186.245 trillion still unprepared.
EVN said during its restore, the group will ensure not to cause a big changes in power supply to the economy, no negative impacts on customers and partners, the groups will not raise fees and try to minimize intermediate management.