Vietnam’s sole retail power supplier is going to open up to private and foreign investors. State utility Vietnam Electricity group (EVN) is quickening its privatization and divestments from non-core businesses as Vietnam moves towards a competitive power sector, including full wholesale and retail competition. Vietnam’s sole retail power supplier is going to sell shares in three power generation companies, known as Genco 1, 2 and 3, to the public in the next five years, EVN Chairman Duong Quang Thanh said in an interview with the Vietnam News Agency. The Vietnamese government in 2007 announced plans to partially sell stakes in most of EVN’s power generation and distribution units. In 2012, EVN restructured the generation part into the three Gencos. These companies are currently fully controlled by EVN. According to the Asian Development Bank, as of 2013, EVN owned 22 percent of total installed capacity and the three Gencos held 39 percent. Meanwhile, state-owned … [Read more...] about Vietnam to quicken share sales in EVN in push for power wholesale market by 2017
Share sale and purchase agreement
With the increasing mergers & acquisitions (M&A) trend, the term "transfer of business" may commonly and widely been used in daily business lives around the world. Vietnam is no exception - we can easily find this term everyday in business, in legal and commercial documents and the public media. So, let's examine closely what a transfer of business is. KPMG tax partner Ninh Van Hien and KPMG tax director Tran Thi Tuyet Nhung explain. Decree 108 implementing the Law on Investment provides that, amongst other forms of green-field investment, investors are allowed to make investment in other forms such as capital contributions, purchasing stocks, consolidating and acquiring businesses. The same decree also allows for a transfer of project which can take the form of either "capital assignment" in case the project company is not to be liquidated or "business acquisition" in case the company holding the project is to be liquidated. Capital assignment - a share or an … [Read more...] about Transfer of business – an asset or share deal?
Introduction Vietnam is keen on developing its maritime economy. With the accession to the Trans-Pacific Partnership Agreement (TPP), Vietnam will be an international trading and transshipment hub in the Asia-Pacific region. As a result, shipping and maritime activities in Vietnam, such as shipbuilding, ship agency, maritime transportation, port operation, logistic services, will vigorously develop. In their business, ship owners have two ways to expand their fleet: purchasing existing ships or building new ships. Countries with a low-developing shipbuilding industry often buy ships from developed nations with a long shipbuilding history like the Netherlands, Norway, Japan, China, etc., specially in buying huge-tonnage and modern ships. An international sale and purchase of a ship is a deal between buyer and seller of different nationalities. If the buyer is Vietnamese, the seller (ship owner) will be of foreign nationality and the ship has a foreign flag. There are three aspects … [Read more...] about Some legal issues of international sale and purchase of ships
British oil major BP and Russian group Rosneft said Thursday that they have signed a final agreement on the sale by BP to Rosneft of half of the third biggest Russian oil company, TNK-BP, as part of a major shift in strategy by the British company. "BP, Rosneft and Rosneftegaz -- the state-owned parent company of Rosneft -- have signed definitive and binding sale and purchase agreements for the sale of BP's 50 percent interest in TNK-BP to Rosneft and BP's investment in Rosneft," a BP statement said. … [Read more...] about BP, Rosneft say they have signed off on TNK-BP sale
Developing the socialist-oriented market economy is a realistic and optimal path for the Vietnamese nation. However, it is still a challenge for our Party, State and people to design concrete measures for that model to operate effectively. Awareness on the socialist-oriented market economy after nearly 30 years of renovation After nearly 30 years of renovation, awareness on the socialist-oriented market economy has become clearer. First, market economy (the high development level of commodity economy, when all products can become commodities) is a product of human civilization which emerged since the end of the primeval communist regime and developed to a high level under capitalism thus by itself is not synonymous to capitalism. It means that the market economy is not an exclusive product of capitalism, but commodity economy, the feeding source and starting point of the market economy, has existed in several social regimes, however, there is no common and unanimous market economy for … [Read more...] about Developing the socialist-oriented market economy in Viet Nam: Theoretical awareness, practices and recommendations