Vietnam’s largest state-owned shipping firm and port operator is planning to launch an initial public offering in the middle of this year, according to the acting CEO of Vinalines, Nguyen Canh Tinh. The government has asked for the firm to be privatized but plans to hold a 65 percent stake in its charter capital, while the rest will be sold to local and foreign investors, Tinh said. According to the firm’s privatization plan submitted by the transport ministry to the government for approval, Vinalines’ charter capital stands at nearly VND13.92 trillion ($630 million). Tinh said the firm’s revenue was estimated at VND16 trillion in 2017, beating its annual target by 15 percent. Of that revenue, over VND4.4 trillion came from port services, while VND7.1 trillion was made from transport services. Vinalines posted profit of VND515 billion last year and hold total assets of over VND18 trillion, Tinh said.
Related News Vinalines, Vietnam’s largest state-owned shipping firm and port operator, has been forced to put six ships up for sale as the global shipping crisis takes its toll, the shipping firm said in a document sent to the Ministry of Transport. Vinalines has set a target of selling six ships, including 20-year-old ships that can carry cargoes of more than 70,000 in dead weight tonnage (DWT). Vinalines is a victim of the global shipping slowdown that started in 2008 and has yet to show signs of a recovery, the shipping firm said. The Baltic Dry Index, which is a…... [read more]
Local shipping firms have effectively tapped domestic market, the Vietnam Investment Review (VIR) reported on April 16. In an effort to address the redundancy of Vietnamese container ships, in late March 2013 the Ministry of Transport (MoT) released Document 128/TB-BGTVT to stop 20 foreign flag-carrying ships capable of carrying 500,000 dead weight tonnage (DWT) from operating on domestic routes. The policy was very helpful to local shipping firms. They had a good chance to regain market share of shipping lines that have an estimated value of 1 trillion VND (47 million USD) per year. “It’s difficult for foreign ship owners…... [read more]
Goods loaded for export in Cat Lai Port, HCM City. Local companies in the shipping market face tough times amidst fierce competition with experienced and well-funded players from abroad. — VNA/VNS Photo Thanh Vu HCM CITY (VNS) — Local companies in the maritime shipping market will have to struggle amidst fierce competition with experienced and well-funded players from abroad, as they battle for dwindling orders. Many Vietnamese shipping firms struggle with bad debts and have had to sell some vessels to cover business costs, after attempts to cut fees for orders. The situation was described by Trinh The Cuong, head…... [read more]
VietNamNet Bridge - Experts have warned that some Vietnamese shipping firms, incurring big debts, will soon follow Hanjin and file for bankruptcy. At least two – Vinashinlines and Falcon – have been following procedures to declare bankruptcy. The fact that Hanjin, one of the 10 largest shipping firms in the world, has filed for bankruptcy, is a clear proof. Bankruptcy may also be the future of many Vietnamese shipping firms. In fact, some shipping firms have filed for bankruptcy. Vinashinlines and Falcon Shipping, the two subsidiaries of the Vietnam National Shipping Lines (Vinalines), for example, did this in late 2015.…... [read more]
Scores of foreign investors are on a prosperous voyage of discovery in Vietnam's developing freight transport and shipping industry. According to the London-based Business Monitor International's (BMI) Vietnam Freight Transport Report for 2011's third quarter, Japanese interest in Vietnam's ports and shipping industry was surging. "The Japanese government, investors, contractors, and shipping lines are all looking to get involved in the Vietnamese ports and shipping sector," the report said. BMI cited Japan's Kobe Steel as saying it would build its own $244-$365 million port in Vietnam to secure iron nugget supplies. Mitsui OSK Lines (MOL) would deploy Europe-bound container vessels…... [read more]
