Business

Fitch Ratings confirms creditworthiness of National Power Transmission Corporation

By Lan Huong April 12, 2019 | 11:44 AM GMT+7

The company needs to invest around $700-800 million annually to meet its investment requirements.

The standalone rating of Vietnam’s National Power Transmission Corporation (EVNNPT) is BB+, according to Fitch Ratings.

Having attained a long-term foreign-currency issuer default rating of ‘BB’ with stable outlook and a senior unsecured rating of ‘BB’, EVNNPT’s ratings align with both Vietnam’s sovereign rating and that of the national power utility, Vietnam Electricity, last June.

World Bank said that Fitch’s rating released on April 10, 2019 of the creditworthiness of EVNNPT further demonstrates the strong credit profile of the country’s power companies.

EVNNPT’s rating reinforces its creditworthiness and enhances its transparency, in line with international standards.

This development enables EVNNPT to diversify financing sources and issue international bonds.

EVNNPT is now better positioned to deliver on its mission to ensure safe, uninterrupted, and stable power transmission to serve the needs of Vietnam’s people and businesses, World Bank stated.

According to Dr. Dang Phan Tuong, chairman of board of directors of EVNNPT, the company needs to invest around $700-800 million annually to meet its investment requirements under the Power Sector Development Plan 7.

“The positive credit rating by Fitch Ratings has confirmed the strong financial standing of EVNNPT and will facilitate its penetration into the international capital market to raise capital,” he said.

Ousmane Dione, country director for the World Bank in Vietnam, stated that the positive credit rating will enable EVNNPT to access new sources of commercial financing without sovereign guarantees.

That can complement traditional sources of financing such as government budget or ODA in further investments to address transmission network bottlenecks to integrate and scale up solar and wind energy.

He emphasized that the electricity transmission network is the backbone of a power system and of critical importance to provide reliable and sustainable power for Vietnam’s socio-economic development.

EVNNPT’s credit profile is supported by its dominant market position as a monopoly player in Vietnam’s electricity transmission sector, limited price and volume risk under the regulatory framework which enhances its revenue and profit visibility, pooled counterparty risk, and strong receivables.

EVN achieves its first and positive credit rating from Fitch Ratings

EVN achieves its first and positive credit rating from Fitch Ratings

National Focus -  7 year
Electricity of Vietnam (EVN) is one step closer to issuing US dollar bonds and strengthening its financing capacity, following an endorsement by Fitch Ratings of its credit profile.
EVN achieves its first and positive credit rating from Fitch Ratings

EVN achieves its first and positive credit rating from Fitch Ratings

National Focus -  7 year
Electricity of Vietnam (EVN) is one step closer to issuing US dollar bonds and strengthening its financing capacity, following an endorsement by Fitch Ratings of its credit profile.
US giant backs Vietnam’s bid to lead ASEAN gas trade

US giant backs Vietnam’s bid to lead ASEAN gas trade

Business -  1 week

With strategic deals and strong policy alignment from the Vietnamese government, Excelerate Energy aims to anchor Vietnam’s LNG ambitions in the region.

Frasers Property, SPX Express sign deal for largest sorting centre in Southeast Asia

Frasers Property, SPX Express sign deal for largest sorting centre in Southeast Asia

Business -  1 week

Scheduled for completion in 2027, the logistics facility will be the first of its kind in Vietnam significantly boosting parcel processing capacity up to 7 million parcels daily.

Gamuda Land secures VND3,750 billion loan for Eaton Park project

Gamuda Land secures VND3,750 billion loan for Eaton Park project

Business -  3 week

Gamuda Land will use the loan to invest in a luxury real estate project in Ho Chi Minh City.

WHA Group accelerates industrial park investment in Vietnam amid tariff tensions

WHA Group accelerates industrial park investment in Vietnam amid tariff tensions

Business -  3 week

Amid global economic volatility, WHA Group has rapidly rolled out multiple expansion projects in Vietnam, signaling its strategic focus on the country.

Hai Phong Port unveils new deep-water terminals to meet growing trade demand

Hai Phong Port unveils new deep-water terminals to meet growing trade demand

Business -  3 week

Hai Phong Port JSC. has inaugurated international container terminals No. 3 and 4 at Lach Huyen, raising its throughput capacity to 3.5 million TEUs per year.

Hoang Huy Group to raise $79 million for Haiphong property projects

Hoang Huy Group to raise $79 million for Haiphong property projects

Business -  1 month

Hoang Huy expects revenue to exceed VND4 trillion and post-tax profit to reach up to VND2 trillion in fiscal year 2025-2026, targeting annual growth of over 30% for the next five years.