The State-run Vietnam National Chemical Group (Vinachem) is to accelerate the equitization of its affiliates and divestment from non-core businesses in 2016, the firm’s Deputy General Director Bui The Chuyen said.

Vinachem reported that it realised 83 percent of its equitisation plan in 2015, with five of the six target subsidiaries equitized and more than VND 975 billion (USD 43.7 million) collected in the move.

A chemical plant of Vinachem in Lao Cai province. Source:

Meanwhile, it succeeded in divesting its capital from 13 of the 17 target enterprises, fulfilling 66 percent of the set objective and taking back over VND 674 billion (USD 30.2 million).

The group also admitted certain obstacles to the equitisation of and divestment from some companies, adding that it suggested the Government consider some preferential treatment for Vinachem to speed up the work.

Equitisation and divestment are part of the restructuring of State-owned enterprises (SOE), which constitutes the economic restructuring scheme carried out since 2011. They aim to make SOEs more efficient and profitable.

Public investment and the banking system are also undergoing significant restructuring.

Source: VNA