EVN to Issue US$300-500Mln of Bonds on Int'l Market
Electricity Group of Vietnam is expected to issue US$300-500 million worth of bonds, with or without government warrantee, on an international bourse next year, local Economic & Urban newspaper reports Thursday.
EVN’s bond issuance will mobilize more capital for power generation projects and transmission lines.
EVN already submitted the move to the government of Vietnam, which agreed in-principle.
However, the group did not disclose more details.
Besides, EVN is planning to mobilize an additional VND4 trillion ($250 million) by issuing bonds and selling stakes this year.
EVN will equitize 29 affiliates and form nine construction joint stock companies to carry out existing power works and four service JS Cos.
The companies will encourage all sectors to invest in 48 power plants with combined capacity of 20,570 megawatts from 2007-2015, with controlling stakes of 51 per cent of chartered capital.
So far 21 units under EVN are equitized, Dang Phan Tuong, head of EVN’s Equitization Board said.
Notably, book value of those companies after equitization reached about VND19 trillion, up from VND13.4 trillion.
Currently, prices of several power plants traded on the bourse are 4-9 times higher than par values, including Vinh Son – Song Hinh Hydropower SJ Co. (up 8 times), Pha Lai Thermal Power JS Co (up 9 times) and Khanh Hoa Power SJ Co. (up 4 times). (Economics & Urban)
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