VEC to increase charter capital 70-fold
VEC to increase charter capital 70-fold
Prime Minister Nguyen Tan Dung has approved a plan to raise the charter capital of Vietnam Expressway Corporation (VEC) under the Ministry of Transport (MoT).
The company's charter capital will be adjusted from its current VND1 trillion (US$44 million) to VND72.6 trillion ($3.2 billion) by 2019.
PM assigned MoT to work with the Ministry of Finance (MoF) on the process.
VEC was established in December 2004 and has been growing ever since. Its major completed highway projects include Cau Gie – Ninh Binh, Noi Bai – Lao Cai and HCM City – Long Thanh – Dau Giay.
The company is now constructing the Da Nang – Quang Ngai highway and the Ben Luc – Long Thanh highway. It is also preparing for the construction of Ha Noi – Lang Son highway.
VEC recently announced plans to transfer five highways as part of its equitisation plan.
VEC will establish a number of joint stock companies to transfer five highways of Cau Gie - Ninh Binh, Noi Bai - Lao Cai, Ho Chi Minh City - Long Thanh - Dau Giay, Da Nang - Quang Ngai, and Ben Luc - Long Thanh.
The five projects have total investment capital of VND125.5 trillion ($5.5 billion), of which VEC mobilised VND54 trillion ($2.4 billion) and received VND71.5 trillion ($3.2 billion) from the State budget.
