• An Giang
  • Binh Duong
  • Binh Phuoc
  • Binh Thuan
  • Binh Dinh
  • Bac Lieu
  • Bac Giang
  • Bac Kan
  • Bac Ninh
  • Ben Tre
  • Cao Bang
  • Ca Mau
  • Can Tho
  • Dien Bien
  • Da Nang
  • Da Lat
  • Dak Lak
  • Dak Nong
  • Dong Nai
  • Dong Thap
  • Gia Lai
  • Ha Noi
  • Ho Chi Minh
  • Ha Giang
  • Ha Nam
  • Ha Tinh
  • Hoa Binh
  • Hung Yen
  • Hai Duong
  • Hai Phong
  • Hau Giang
  • Khanh Hoa
  • Kien Giang
  • Kon Tum
  • Lai Chau
  • Long An
  • Lao Cai
  • Lam Dong
  • Lang Son
  • Nam Dinh
  • Nghe An
  • Ninh Binh
  • Ninh Thuan
  • Phu Tho
  • Phu Yen
  • Quang Binh
  • Quang Nam
  • Quang Ngai
  • Quang Ninh
  • Quang Tri
  • Soc Trang
  • Son La
  • Thanh Hoa
  • Thai Binh
  • Thai Nguyen
  • Thua Thien Hue
  • Tien Giang
  • Tra Vinh
  • Tuyen Quang
  • Tay Ninh
  • Vinh Long
  • Vinh Phuc
  • Vung Tau
  • Yen Bai

VNA restructuring plan approved

VGP - The Government has approved a plan to comprehensively restructure Viet Nam Airlines (VNA) to completely divest its capital from non-core businesses with a view to improving business performance by 2015.

01/22/2013 15:11

Illustration photo

Under the plan, the Government will reduce its stake in the airline from 70-80% to 65-70% after the company issues its IPO this year.

This represents a major shift from the initial draft submitted to the Ministry of Transport last April, in which the airline proposed a 70-80% stake held by the State.

The national flag carrier will continue to issue shares to mobilise capital.

Apart from the mother corporation, which includes 9 member companies, the restructured VNA will have 26 independently audited companies.

The mother corporation will hold a 100% stake in Viet Nam Airlines Engineering Company (VAECO) only, while owning half of the registered capital of 14 companies and less than 50% of registered capital in the 11 remaining companies.

The process targeted to bring the airline in line with the country's State-owned enterprises, as other businesses in the transport sector are undergoing similar restructuring.

After finalizing the restructuring process, Viet Nam Airlines will comprise four airlines: the mother corporation, Viet Nam Air Services Co (VASCO), Jetstar Pacific (a low-cost airline) and Cambodia Angkor Air.

Under the restructuring plan, revenue from aviation transport will touch US$43.8 billion in the next eight years with a pre-tax profit of over US$ 1 billion. By 2015, VNA will rank third in the region./.  

By Khanh Phuong