Deputy Prime Minister Vuong Dinh Hue has just issued the Decision approving the scheme on restructuring Vinachem in the 2017-2020 period with the objectives of ensuring Vinachem’s proper structure and improving the group’s capability, business and production efficiency and competitiveness.
According to the scheme, Vinachem's main business lines include producing and trading basic chemicals; exploiting and processing minerals as raw materials for fertilizer and chemical production; producing and trading pesticides and fertilizers containing phosphorus.
Vinachem’s charter capital is estimated about VND20 trillion (US$882 million) by 2020. The group has made the plan and roadmap for equitization in the period of 2018-2019. After equitization, the State holds between over 50 per cent and less than 65 per cent of Vinachem’s charter capital.
Regarding the scheme on restructuring Vinachem's member companies in the period of 2017-2020, the Group will divest from the Vietnam Institute of Industrial Chemistry and restructure the College of Chemical Industry simply and effectively.
Vinachem will withdraw all its capital from companies such as Ha Bac Nitrogenous Fertilizer and Chemical JSC, DAP-Vinachem JSC, DAP No. 2 – Vinachem JSC and Ninh Bình Nitrogenous Fertilizer and Chemical Co., Ltd in case these companies do business profitably and effectively.
The Group has also divested from Vietnam Apatit Co., Ltd. in the 2017-2018 period with a shareholding of over 65 per cent.
In addition, Vinachem will hold from over 50 per cent to less than 65 per cent of charter capital of seven companies including the Industrial Gases and Welding Electrode JSC, Viet Tri Chemicals JSC, the Southern Basic Chemicals JSC, Lam Thao Fertilizers and Chemicals JSC, Van Dien Fused Magnesium Phosphate JSC, Ninh Binh Phosphate Fertilizer JSC and Vietnam Pesticide JSC.
Vinachem will hold less than 50 per cent of charter capital in nine companies, namely Southern Rubber Industry JSC, Da Nang Rubber JSC, Sao Vang Rubber JSC, Binh Dien Fertilizers JSC, Can Tho Fertilizers and Chemicals JSC, the Southern Fertilizers JSC, NET Detergent JSC, LIX Detergent JSC and Dry Cell and Storage Battery JSC.
Vinachem will withdraw its entire capital from the following 15 companies,namely Hanoi Soap JSC, Vinh Phu Battery JSC, Tia Sang Battery JSC, Inoue Rubber Vietnam Co., Ltd, TPC VINA Plastic and Chemical Co., Ltd, South Chemicals Import – Export JSC, Hanoi Synthetic Paint JSC, Duc Giang Chemicals and Detergent Powder JSC, Hanoi Batteries JSC, Viet Nam Chemical Import & Export JSC, Ninh Binh Fertilizer Port JSC, Tay Ninh Chemical Industry JSC, Da Nang Chemicals Industry JSC, Mine Construction and Investment Consultancy JSC and Chemical Engineering Joint Stock Corporation.